ABSTRACT
The Peruvian state, as measured by total public expenditures, practically doubled in size. The State-owned enterprises (SOE) currently play a major role in the Peruvian economy. The SOEs also control much of Peru’s trade. State financial institutions have done virtually all medium and long-term lending in Peru. The political history of Peru has been characterised throughout by intense ideological discussion. A minor denationalisation occurred in 1974 when Pescaperu was allowed to sell some of the assets that had been acquired through the nationalisation of all the private fishing companies. The main problem in Peru in past years has been the lack of conceptual clarity on the matter of privatisation. The very few cases of privatisation in Peru and their exceptional characteristics do not allow the identification of issues that could be relevant for future processes. The significant participation of the Peruvian State in entrepreneurial activities is a rather recent political process.
