American- Peruvian Relations

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Peru is a country in South America and is the third largest.  It gained its independence in the year 1821 and gained a constitutional in 1993.The relationship between Peru and America began way back in the 19th century. A few years after Peru the American government, began to see Peru as a democratic state.  This relationship was based on economic growth and democracy, value of human rights and the war on illegal drugs. (Bruce St. John. Foreign Policy of Peru, 1999. p.214)


In the 1990s, the need to fight illegal drug trafficking arose.  And due to their strong bilateral relations, this became a matter of urgency strengthening their relationship.  The relationship had been good for a long time until it was threatened when the former president Alberto Fujimori was re-elected in 2000 that was however overcome when an interim government was formed under Alehandro Toledo the following year.  Peru tried its best to improve its ties with America and they have been good since then. Peru benefits a lot from this relationship in various ways. Such as foreign aid, investments from America aimed at improving their economy and also support in the issue of illegal drugs. Though other people do not feel like the war on drugs in Peru is being dealt with appropriately, other issues like those of trading and investing have improved. The relations between the two countries have placed Peru in the map of the world’s economy. Trading and investing has improved over the years, but other policies such as the war on drugs (narcotics) and democracy have been on the decrease.”(Cynthia McClintock).

When Peru approved of the Free Trade Agreement (FTA), the relationship became even better. American investors increased in Peru and the economy has grown tremendously. To date there are stills strong ties even between the presidents of both countries. President Obama said that, he thought that Peru had been a success over the years in its democracy and economic growth. He added that his relationship with the Peruvian president was personal and it would grow as the relationship of both countries has grown over time.

Though the two countries have been in partnership for a long time. Other countries are also gaining interest in Peru. For example china has shown a lot of interests in Peru and it being one of the major exporters to Peru, it wants to invest a large some of money in Peru In order to become the leading foreign investor drawing a lot of public support to them than to the United States of America.

Even with this, America and Peru are bound by the United States Peru Trade Promotion Agreement which was signed by President Bush in 2007. This was faced with some challenges when some democrats were not for it stating that it did not cater for the needs of the poor and middle class in both Peru and America. They stated that it also did not look at ways to protect the environment.

It was clear that the George Bush and Bill Clinton administration were more interested in the fight of illegal drugs in Peru than Peru its self. There was a time George Bush cut off the supply of aid to Peru due to their disorganization and lack of democracy which had been caused by Alberto Fujimori. This led the country to high inflation. This was done in order for Peru to get its house in order. After they did that and the USPTPA was signed, the economy of Peru began to improve and the poverty level that was very high began to decrease. This proves that the relation of both countries is quite beneficial.