According to BNamericas' most recent Infraestructure Survey (2015) Peru (together with Chile and Colombia) is one of the markets in the region with the greatest opportunities for infrastructure investment this year.
Positive factors for infrastructure investment in Peru include the country's macroeconomic stability and a favorable environment for private investment. The Word Bank's Doing Business 2015 report ranked Peru second in South America in terms of the ease of doing business, behind only Colombia.
Following moderate growth in 2014, economic activity is expected to gradually recover in Peru this year, returning to levels seen during the last decade. Among other factors, recovering levels of public, private and public-private partnership (PPP) investment in infrastructure will be crucial for this recovery, especially in the transport sector.
According to official statistics, a total of 31 projects are currently underway, with US$13.8bn in investment committed to modernizing the sector and reducing logistics costs. And more projects are to be awarded in 2016 which will require total investments of US$19.3bn.
The question which industry players and specialists are asking is whether these projects can be carried out within an adequate time frame. In that regard, we must consider issues which are all too frequent throughout Latin America, namely the lack of a national plan which brings together and prioritizes projects, the absence of specific timetables and efficient regulations, and excessive bureaucracy which delays the disbursement of investments.
In the longer term, Peru's largest business group Confiep estimates that total investment in infrastructure projects will reach US$113bn over the next the next six years.
These investments should contribute to reducing the infrastructure gap in Peru, which has been calculated at between 40% and 50% of GDP (between US$85.0bn and US$106bn).