Peru

The House Ways and Means Committee voted in support of the U.S.-Peru Trade Agreement this week. Congressional approval is expected in October with the deal viewed as a potential model for other bilateral pacts. COA testimony notes the agreement's passage provides an opportunity to advance strategic policy goals and promote U.S. economic, labor, and environmental interests.

In testimony to the U.S. Senate Committee on Finance, COA Vice President Eric Farnsworth notes that passage of the U.S.-Peru Trade Promotion Agreement is a rare opportunity to advance fundamental strategic policy interests while promoting U.S. economic, labor, and environmental interests.

Can Peru maintain its robust economic growth? Minister Carranza Ugarte discusses future economic scenarios along with the importance of investment in social development and passage of the U.S.-Peru Trade Promotion Agreement.

Topics in this issue: U.S. Free-Trade Agreements with Colombia, Peru and Panama
• Market access
• Services and investment
• Labor
• Export growth

In an exclusive interview with AS/COA, Pablo de la Flor analyzed the future of the U.S.-Peru FTA and its implications for both countries and the region. De la Flor urged passage of the FTA in the U.S. Congress and noted that 60% of the Peruvian population believes that the agreement, ratified in Peru, will be beneficial to the country's interests.

Peru narrowly dodged a bullet on June 4 when centrist Alan Garcia defeated Ollanta Humala, a radical anti-U.S. demagogue, by an uncomfortably narrow margin. Humala was threatening to pull Peru back from the global economy, install a more authoritarian regime and ally himself with Venezuelan strongman Hugo Chavez.

Speaking at the 33rd Washington Conference of the Council of the Americas, Horst Kohler, managing director of the International Monetary Fund, discussed how to maintain economic stability in Latin America. Kohler stated the importance of increased trade and introduced an agenda to encourage economic growth.