Country Fact Sheet

Government at a GlanceLatin America and the Caribbean 2017

Peru is a regional leader in public infrastructure investment

In 2014, public investments in Peru reached 5.5% of GDP, more than double the LAC average (2.6%) and higher than the OECD (3.2%). The high level of public investment stems partly from a programme of public investment in infrastructure, mainly roads and sanitation projects, initially introduced in 2008 and maintained over time. Following a decentralization process that started in 2002, almost half (44%) of public investment is carried out by the local level governments in 2014 (7.2 percentage points higher than in 2007). There is still room to improve the prioritisation of public investment at the local level and to guarantee that available resources are spent efficiently and effectively.

Chapter 2: Public finance and economics

2.22. Government investment as a percentage of GDP, 2007, 2009 and 20142.23. Distribution of investment spending across levels of government, 2007 and 2014

Peru would do well to involve stakeholders earlier and more systematically in the design and implementation of regulations

Peru has the lowest score (0.6/4) among seven LAC countries on the stakeholder engagement composite indicator, below the LAC and OECD averages (1.6 and 2.1, respectively). While Peru has adopted the basic legal requirements for engaging stakeholders, consultation is not yet carried out systematically in practice. For example, the pre-publication of regulations is an important tool for transparency, but it occurs at a late stage and leaves limited room for stakeholders’ feedback to be considered and incorporated.

Chapter 7: Regulatory Policy and Governance

7.4. Composite indicator: Stakeholder engagement in developing subordinate regulations, 2015

Peru has made strides in implementing digital government

Similar to the majority (61%) of LAC countries surveyed, Peru has a national citizens’ portal and has adopt-ed a legally recognised digital identification mechanism (digital signature). However, the use of the digital signature by citizens and businesses is not widespread given that it requires updated software and hardware, the acceptance by supervisory bodies is still low and the paper culture is deeply rooted in the administration.

Chapter 8: Digital and open government

8.9. Existence of a main national citizens’ portal for government services (2015)8.10. Existence of a legally recognised digital identification (e.g. digital signature) mechanism (2015)

Peru

Government revenues(2014, 2015)

Government expenditures(2014, 2015)

Government gross debt(2014, 2015)

% of GDP % of GDP % of GDP

Source: IMF World Economic Outlook databaseSource: IMF Government Finance Statistics database.

* See Notes

G@G /dataG@G /data -0.3%

Peru

-4.5%-8%

0%

-2%

-6%

-4%

-2.2%

(2015) (2014) (2014)

Fiscal balance (2014, 2015)% of GDP

Government investment(2014) *% of GDP

How to read the figures:

Peru

Country value in green (not represented if not available) Average of OECD country

values in blueRange of LAC country

values in grey

Public Finance & Economics Public Employment & Compensation

Public Finance and Economics

GOVERNMENT INPUTS: FINANCIAL AND HUMAN RESOURCES

Source: IMF World Economic Outlook database

Values have been rounded. n.a. refers to

data not availableAverage of LAC country values in purple

Breakdown of tax revenues(2014) *

% of total taxation

Peru

44.0%40.8%

11.0%Goods and services

Income and pro�ts

Social security49.5%

27.9%

16.4%

Other

Source: OECD Revenue Statistics in Latin America (database). * See Notes

Source: IMF World Economic Outlook database

33.1%

10% 20% 30% 40% 50%

Peru

22.6%(2015)

22.6%(2014)

(2014)

2.6%5.5%

Peru

1% 2% 3% 4% 5% 6%

Source: IMF World Economic Outlook database

23.1% 100%

0%

100%

0%

Peru

50.4%

60% 90% 120% 150%30%0%

20.7%(2015) (2014)

(2014)

50.3%

50%

40%

60%

44.6%Peru

Public Employment and Compensation

G@G /data

Public sector employment filled by women

(2014) *

Source: International Labour Organization (database). * See Notes

Public sector employmentas % of total employment

(2014) *

Source: International Labour Organization (database). * See Notes

12.0% 5%

0%

25%

10%

15%

20%9.1%Peru

10% 20% 30% 40% 50%

28.6%

Peru

20.3%(2015)

22.3%(2014) (2014)

GOVERNMENT PROCESSES

Government Institutions Public Procurement Digital Government

Digital Government

iREG: Composite indicatoron stakeholder engagement (2015)

Source: OECD Indicators of Regulatory Policy and Governance for Latin America

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

0.63

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

1.61

Peru

Methodology

Systematicadoption

Transparency

Oversight,qualitycontrol

0

20

40

60

80

100

53

0

20

40

60

80

100

45

Peru

Civil service merit index(2012-2015)

Source: Inter-American Development Bank, 2014

7.7%

0% 5% 10% 15% 20%

11.6%

Peru

Source: IMF Government Finance Statistics database. * See Notes

0.0

0.2

0.4

0.6

0.8

1.0

0.49

0.0

0.2

0.4

0.6

0.8

1.0

0.44

Peru

Dataavailability

Dataaccessibility

Governmentsupportto re-use

Main nationalcitizens portal for

government services

Legally recogniseddigital identi�cation

(e.g. digital signature)mechanism

61%

Yes

56%

No

Peru

Existence of a main national citizens portal forgovernment services and a legally recognised

digital identification mechanism (2015)

Source: OECD Survey on digital government performance

Health Financing Systems and Budget

The max. score for each category is 1, andthe max. aggregate score for the composite is 4

Composite index from 0 (lowest) to 100 (highest)

High Moderate Low

33%47%20%

LowPeru

Level of influence of theCentre of Government

over line ministries(2015)

Government Institutions

Source: OECD 2015 Survey on Centre of Government

Development of strategic public procurement by objective(2015)

Public ProcurementGovernment procurement

(2014) *% of GDP

Source: 2015 OECD Survey on Public Procurement

OURdata Index:Open, Useful, Reusable Government Data (2016)

Composite index from 0 (lowest) to 1 (highest)

Source: 2016 OECD Survey on Open Government Data

Greenpublic procurement

A strategy / policy has been developed by some procuring entities

A strategy / policy has been developed at a central level

MSMEs Procure innovativegoods and services

6 12 0

A strategy / policy has been rescinded

A strategy / policy has never been developed

6 4 19 0 1 2 12 0 8

Support to Women ownedenterprises

1 3 0 16

Peru

GOVERNMENT PROCESSES

Notes

OUTPUTS AND OUTCOMES

Peru

0.2

0.3

0.4

0.5

0.6Higher

inequality

Lowerinequality

Before After

0.50 0.49

taxes and transfers

Before After

0.52 0.50

taxes and transfers

0.2

0.3

0.4

0.5

0.6

Before After

0.47

0.29taxes and transfers

Higherinequality

Lowerinequality 0.2

0.3

0.4

0.5

0.6

Gini coefficient: Differences in income inequality pre and post-tax and government transfers (2012)

For more information on the data (including full methodology and figure notes) and to consult all other Country Fact Sheets: http://www.oecd.org/gov/government-at-a-glance-lac.htm

* Government investment data for Peru are recorded on a cash basis. Public sector employment as % of total employment and public sector employment filled by women data for Peru are for 2013. Government procurement data for Peru are recorded on a cash basis. Costs of goods and services financed by general government are not included in government procurement because they are not accounted separately in the IMF Government Finance Statistics (database).

Indicator from 0 (low income concentration) to 100 (high income concentration)

Health Financing Systems And Budget FormulationHealth care financing schemes and percentage of population covered (2015)

Source: 2015 OECD Survey of Budget Officials on Budgeting Practices for Health in LAC countries

0 20 40 60 80 100 0 20 40 60 80 100

63%39%

6%2%2%4%

53%26%4%

19%

Socialhealth insurance

Voluntaryprivate insurance

Government�nancing scheme

Peru

Compulsoryprivate insurance

Not coveredby any explicitarrangement

Other

0%2%

Source: OECD Income Distribution Database

Government at a Glance: Latin America and the Caribbean 2017 is the second edition of a joint publication between the Organization for Economic

Co-operation and Development (OECD) and the Inter-American Development Bank (IDB). It provides readers with a dashboard of key indicators to

inform policy making and benchmark specific interventions. The model is the OECD Government at a Glance, which is a fundamental reference,

backed by a well-established methodology for OECD member countries. Compared to the previous edition that had a special focus on Public

Financial Management and alongside with indicators on public finances and public employment this second version covers a wider range of public

management areas including the role and influence of the Centre of Government, Open Government and Open Data policies, Digital Government,

Regulatory Governance and practices for Budgeting in health systems.

Government at a Glance: Latin America and the Caribbean 2017

The Excel spreadsheets used to create the tables and figures in Government at a Glance: Latin America and the Caribbean 2017 are available via the Stat-Links provided throughout the publication: http://dx.doi.org/10.1787/9789264265554-en