Lima, September 2016: The economic gains that Peru stands to make from closer government and private-sector cooperation was one of several topics explored at a roundtable recently co-organised by the global publishing, research and consultancy firm Oxford Business Group (OBG).
The event, titled ‘Public-private Partnership for Sustainable Economic Development’ (Sinergias público-privadas para un desarrollo económico sostenible), took place on August 24th 2016, at Ernst & Young premises in Lima.
More than 65 representatives from both the public and private sector attended the lively debate.
The roundtable focused on Peru’s public-private-partnership (PPP) model, exploring the key part that joint ventures could play in sustaining future economic growth and steering the country towards achieving developed-nation status. As a contributor to PPPs, they noted, businesses had also brought valuable knowhow and added financial capacity.
The roundtable also examined the challenges that private sector players faced when embarking on collaborative ventures, led by a lack of transparency and excessive red tape. In spite of these challenges, PPPs play a crucial role in unlocking the country’s delayed projects and rolling out future initiatives.
Participants also discussed the benefits of bringing more businesses into the formal economy and how this has boosted the private sector’s contribution to economic growth.
The debate was opened by María Meroño, OBG’s Managing Director for Latin America and the Caribbean, and moderated by the executive president of Grupo Invertir, Daniel Córdova.
Speakers included: Paulo Pantigoso, Country Managing Partner EY Perú; Mario Alvarado, CEO of Grupo Graña y Montero; César Peñaranda, Executive Director of the Institute of Economy and Business Development of the Lima Chamber of Commerce (CCL); Carlos Gálvez, President of the National Mining, Hydrocarbons and Energy Society; Eduardo Torres-Llosa, General Manager of BBVA Continental; and Juan Pablo García Bayce, General Manager of Gerdau Siderperú.
Commenting after the conference, Fabiana Rodriguez, OBG’s Country Director in Peru, said the roundtable had provided a valuable forum for public and private sector representatives to debate the strengths and weaknesses of Peru’s PPP model.
“Like many resource-rich nations, Peru has felt the weight of falling commodity prices,” she said. “One of the messages that came out of our discussion was that a stronger and improved PPP model would help bring new projects to fruition. This would also provide the economy with an important boost in this challenging economic environment.”
Meroño added that the roundtable had provided a timely opportunity for participants to explore what the country could do to foster closer and more productive ties between the public and private sectors.
“The high level of participation at our conference showed that improving Peru’s business environment remains a key topic of interest among public and private sector players,” she said. “I’m delighted that we were able to provide so many representatives from across the economy with an opportunity to contribute to this important conversation.”
Many of the issues on the conference’s agenda will be explored in detail in Oxford Business Group’s forthcoming publication, The Report: Peru 2017. The report will mark the culmination of more than 10 months of field research by a team of analysts from OBG. The publication will assess trends and developments across the economy, including macroeconomics, infrastructure, banking and other sectoral developments.