MEF | Moves in MEF: Contreras does not offer resignation, but Boluarte | Meet with Alex Contreras Tina Poluiarte | economy

Movements in the Ministry of Economy and Finance (MEF) as he knew ManagementDepartment Minister, Alex Contreras, He would have written his resignation letter but it would not be submitted. In fact, it has been revealed that he is going to meet the President In Boluarte Amid strong rumors of a change of ministers.

It is worth remembering that a year and a month have passed Alex Contreras He was appointed as the head of the Ministry of Economy and Finance.

So what does Polwarte's meeting yesterday with two former economy ministers mean? As reported in this newspaper, Luis Carranza and José Arista met the President. The current Minister of Development and Social Inclusion, Julio Demartini, will also accompany them to the meeting.

Carranza was approached about accepting a post at MEF at yesterday's meeting, but declined. However, he proposed Arista's visit. However, the official transition to the post of Minister of Economy and Finance has not been finalised.

But, this is not the only thing that resonates in ministry. Management We will know in the last days Finance Minister Jose Carlos Chavez has been asked to resign by accounts. Last year the general budget for activities and projects increased from S/ 34,905.1 million to S/ 249,695.4 million. In addition, this year's initial enterprise budget (PIA) is S/ 240,806.2 million, higher than 2023 (S/ 214,790.3 million).

The Peruvian Economy

Over the past year, Contreras' administration has engaged in an economy that has not stopped falling. A continuous decline Private investment, not necessarily recently due to the effects of political crisis and uncertainty, as well as business expectations not fully recovering; In addition, at the end of 2022 drought and typhoon Yaku and El Nino phenomenon By early 2023, along with other negative factors, they hit GDP (PPI) from Peru. Various analysts predicted that the Peruvian economy would have contracted by 0.5% last year.

Although Contreras slowly realized that Peru had entered recession (despite having already been in the “red” for three consecutive quarters), he later pointed out that without actions taken – such as the Khan Punch Peru programs – the fall would have occurred. The Peruvian economy would have been aging.

Other features like holder MEF A request for financial assistance of USD 3.2 billion had to be specified PetroPeru. “In terms of fiscal deficit, we are on the brink of what the law allows us to do. That way, there is no room to fund additional issues unrelated to reactivation or emergencies. We confirm that Petroperú has no place to capitalizeAs the Prime Minister (Alberto Otorola) pointed out”, Contras said last September.

Also, Peru is preparing to face an El Nino event in the summer, which again casts shadows on the Peruvian economy and could be a factor that temporarily excludes GDP from the recovery announced by Contreras, because – depending on its magnitude – the impact on the country's infrastructure.