Doing Business Peru 2024

The keys to doing business in Peru

Peru stands out as an attractive investment destination, backed by a level of macroeconomic stability that has made it one of the fastest growing economies in Latin America in recent decades. This base is reflected in a stable constitutional framework, backed by a significant degree of fiscal soundness and considerable international reserves, proven by low levels of inflation and a fiscal deficit under control.

In this context, Peru has a sound legal framework for protecting and promoting investment, guaranteeing private property, freedom of enterprise and freedom of contract, setting fair rights and obligations for foreign and domestic hinvestors. If also offers legal stability for receiving private investment, which guarantees a fair and efficient process for establishing and doing business in the country.

In the past decade, protection of competition has become particularly important through intensification of supervisory measures and analysis in various markets, as well as the adoption of a system of control of concentrations which pursues the development of an increasingly competitive market, free from restrictions, barriers and other practices that may adversely affect its performance.

Contents of the guide

General introduction to the country
Brief data: GDP; national currency; unemployment rate; inflation; imports and exports. Why Peru?
Investment protection
Legal treatment of domestic and foreign investment. Stability agreements for investment protection. Rights and restrictions of foreign investors.
Corporate
Ways to invest in Peru. Types of companies and their principal aspects. Other relevant types of companies. Branches. Representative offices. Merger control. Dissolution, liquidation and removal of corporate forms.
Peruvian tax regime
Corporate Income Tax (Peruvian IRE). Personal income tax (PIT). Tax treaties. Legal stability agreements. Value Added Tax (VAT). Excise tax (Peruvian ISC). Other general taxes. Main promotional tax regimes.
Labor rules
Regulation. Working hours. Overtime. Termination of the employment contract. Arbitrary dismissal. Loss of trust and termination of the employment relationship. Legal benefits. Social Security for healthcare and the pension system. Foreign workers. Indirect recruitment systems. Teleworking. Collective labor relations in Peru.
Real estate
Rural and urban land. Co-ownership. Competent entity: SUNARP.
Competition
Control of anticompetitive behavior. Control of concentrations. Fair competition. Elimination of bureaucratic barriers. Consumer protection. Trademarks Registry.
Banking and securities market
Direct financial intermediation and regulated activities. Indirect financial intermediation and regulated activities. Bank regulator. Securities market regulator. Other bodies.
Fintech
Financial inclusion in Peru and business opportunity. Digital identification. Exchange controls. Payment system. Fintech in figures in Peru. Fintech regulation and competent authorities.
Data protection
Legal framework. Relevant definitions under the legislation. Territorial scope. Principal obligations of controllers and processors of personal databanks. Data subjects’ rights. Relevant obligations relating to personal data. Regulatory authority. System of penalties and infringements.
Infraestruture
Legal regime. Project finance in Peru.
Dispute resolution
Jurisdiction of the Courts. Alternative dispute resolution methods. International commercial arbitration. Investment arbitration.

Garrigues in Latin America

Our offices in Lima, Bogota, Mexico City and Santiago de Chile each have a strong and experienced legal and tax team. We offer comprehensive multidisciplinary and expert advice covering all angles of business law, advising both local clients and investors on entering and doing business in the Latin American market.