Humala Cabinet Will Test Reinvention to Calm Peru’s Markets
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Ollanta Humala convinced a bare majority of voters that Peru’s booming economy would be safe with him as president. Now he must calm nervous investors, starting with his choices for finance minister and the rest of his cabinet.
And time is short. Peru’s stock market plunged 12 percent yesterday, the most on record, after Humala edged out investor-friendly Congresswoman Keiko Fujimori in the June 5 runoff vote. Investors are concerned that Humala’s government could reverse policies the government expects will attract $50 billion of mostly mining investment and fuel average annual economic growth of 6 percent over the next three years.