Strong criticisms from the president of the BCRP towards Congress and obstacles to mining investments.

During the XV Mining Symposium held from May 21 to 23, the President of the Central Reserve Bank of Peru (BCRP), Julio Velarde, strongly criticized the Congress of the Republic, economists who make erroneous projections about monetary poverty, and the excessive paperwork hindering mining investments in the country. Velarde emphasized the importance of mining investment for economic growth and stated that a 3% increase in the economy is expected this year, in line with a 5.7% growth in mining investments. In the midst of his speech, Velarde highlighted a serious governance problem affecting all sectors, not just mining. He referred to the lack of control in some ministries and the populism that has prevailed in Congress in recent legislatures. Claudia Copper, Vice President of External Affairs at Antamina, also pointed out that the excess of regulations, especially those created to correct previous regulations, hinders the flow of investments in the mining sector. The weakness of state institutions, talent loss, and the growing problem of corruption have contributed to complicating the landscape for mining investments. Attracting more investment in this sector is crucial for economic development and the well-being of the population, as indicated by economist Diego Pereira from JP Morgan, mentioning that delays in projects like Conga and Tía María have hindered further growth of GDP per capita in the country. In a context of high metal prices such as copper and gold, which are expected to remain due to the increasing demand for electricity to power Artificial Intelligence, Peru has the opportunity to increase its mining production. Miguel Cardozo, President of Alturas Minerals Corp., stated that the country could double its fine copper production by 2031 if the projects planned by the Ministry of Energy and Mines are carried out. However, obstacles such as bureaucracy, social conflict, and illegal mining remain significant challenges for the development of the mining sector in the country. Projects like Tía María, valued at US$1.4 billion and expected to begin development by the end of this year, could boost mining investment in the country. Velarde emphasized the need to regain a technical approach in government management and lamented the lack of consideration by Congress for technical opinions and suggestions sent by government entities. In conclusion, mining represents a crucial opportunity for the Peruvian economy, but faces significant challenges in terms of governance, bureaucracy, and social conflict. A more technical and efficient approach in state management is necessary to foster a conducive environment for mining investments and ensure sustainable growth in the sector.