Peru's Fujimori hikes minimum wage, vows to keep military in emergency zones

Peru's new President Keiko Fujimori has signaled significant shifts in her administration's economic policy, notably announcing a substantial 15% increase to the national minimum wage. The minimum wage will rise from 1,130 soles (approximately $331) to 1,300 soles (approximately $382) per month.

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To improve the income of workers, we will raise the vital minimum remuneration to 1,300 soles. This increase will be accompanied by a one-time compensatory bonus for micro and small companies, so that it helps them incorporate workers into formality and responsibly face the higher labor cost.

This wage adjustment is intended to bolster workers' incomes. To mitigate the impact on businesses, Fujimori stated that the increase would be paired with a one-time compensatory bonus for micro and small enterprises. This measure aims to help these businesses absorb the higher labor costs, encouraging formal employment and sustainable growth.

"We want better salaries, but also sustainable companies and more formal jobs in this regard," Fujimori declared during her investiture speech. She emphasized that while improving wages is a priority, ensuring the long-term viability of businesses and the creation of formal employment opportunities are equally crucial.

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We want better salaries, but also sustainable companies and more formal jobs in this regard.

Beyond economic measures, Fujimori also addressed national security, confirming that the armed forces will continue to be deployed in emergency zones. She underscored the critical role of fiscal stability, stating that reforms alone would be insufficient without it. "Fiscal stability is the necessary condition for growth, generating confidence, and sustaining the social policies that Peruvians need," she asserted, linking economic prudence to the well-being of the population.

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State reform will not be enough to transform the country if it is not accompanied by measures that ensure fiscal stability, because fiscal stability is the necessary condition for growth, generating confidence, and sustaining the social policies that Peruvians need.