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Latin American Economy & Business - February 2017 (ISSN 1741-7430)

Peru: The cost of Odebrecht

The scene was set for Peruvian economic growth to accelerate this year. After a bunching of mining mega-projects in 2016, the job of firing up the economy in 2017 was set to pass to the US$7bn Gasoducto del Sur pipeline project, and to a number of other public-private partnership (PPP) transport infrastructure investment projects. But the eruption of the Odebrecht corruption scandal in Peru has put a spanner in the works. Economic growth forecasts for 2017 have begun to be reined in.

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