City profile

Lima sits on the Pacific Coast of Peru and its the nation's capital city. The city has maintained its historic colonial centre and has grown to becoming one of South America's largest cities with a metro population of 11.3 million. Lima is the country's industrial and financial centre accounting for more than two-thirds of Peru's industrial production and most of its tertiary sector. The metropolitan area houses around 7,000 factories producing and processing items like textiles, chemicals, leather and food.

In recent years, Lima has become a top choice for investors owing to Peru’s efforts to minimize risk and build trust among foreign investors through well-crafted macroeconomic and fiscal policy.

Peru’s Emerging Market Bond Index Global country risks yield was 1.83%, in August 2021 – significantly lower than the regional average of 3.92%. Peru has developed strategies to guide competitiveness - Peru’s 2022-2025 National Sustainable Infrastructure Plan for Competitiveness (PNISC) identified 72 priority infrastructure projects. This plan aims to address the nation’s US$100 bn infrastructure gap. Key projects underway in Lima include metro lines and the Jorge Chavez International Airport in Lima. Such projects should help drive improvements in the Urban Management and Assets categories, in addition to maintaining a high level of Investor Attractiveness.

Insight

Following the devastating loss of lives and livelihoods during the El Niño climate cycle in 2017, the UK Department for International Trade signed a government-to-government agreement in June 2020 with the Government of Peru to help accelerate the reconstruction of vital schools, health facilities and flood protection. The UK Delivery Team (UKDT) made up of experts from Arup, Mace and Gleeds has been working with the Authority for Reconstruction with Changes to apply international best practice to the delivery of vital infrastructure and facilities that will protect and benefit millions of people along the coastal regions of Peru.
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