70-10-19 Latin American Economy & Business Report
Economy & Business Report
Trade war to cause long-term uncertainty despite short-term benefits
Peru’s President Martín Vizcarra scored a notable victory over congress this week, which should lead to the imminent approval of four significant judicial and political reforms and their subsequent presentation to the public in a referendum before the year is out. Constrained by his minimal backing in congress but emboldened by his public support, Vizcarra squared up to the main opposition Fuerza Popular (FP, Fujimoristas), accusing the party of holding up the reforms and calling a vote of confidence in his government. This backed FP into a corner. Accept the reforms or face fresh elections. The party did not accede without protest. With its popularity in tatters, however, it could not risk fresh elections and had no choice but to back Vizcarra.
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