Peru - Strengthening Foundations for Post COVID-19 Recovery Development Policy Loan - Chair's Summary - March 25, 2021

Jul 19, 2026

The Executive Directors approved Peru’s Strengthening Foundations for Post COVID-19 Recovery Development Policy Loan (DPL) for US$750 million under the President’s Memorandum terms. Directors expressed broad support for strengthening institutions to mitigate the social and economic impacts of COVID-19 while reinforcing an inclusive, climate-smart recovery. They emphasized continued local consultation, policy support, strong monitoring, domestic resource mobilization, and coordination across the World Bank Group, the IMF, the IDB, and other partners.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages1

Reading Time3 min

Executive Directors approval

Institutional strengthening and consultation

Macroeconomic stability and resource mobilization

Policy measures, inclusion, and digitalization

Coordination with development partners

Public Disclosure Authorized Public Disclosure Authorized Peru Strengthening Foundations for Post Covid-19 Recovery Development Policy Loan Chair’s Summary* March 25, 2021 The Executive Directors approved the Strengthening Foundations for Post COVID-19 Recovery Development Policy Loan (DPL) to Peru in the amount of US$750 million on the terms and conditions set out in the President’s Memorandum. Directors expressed broad support for the operation and welcomed the authorities’ commitment to strengthen institutions to mitigate the social and economic impact of the ongoing COVID-19 pandemic, and reinforce the structural foundations for an inclusive and climate smart economic recovery. They emphasized the need for continued local consultation, policy support and commitment, especially in view of upcoming elections, to ensure effective implementation, and encouraged close monitoring. Directors acknowledged Peru’s strong and long-term commitment to macroeconomic stability, while stressing the need to focus more on domestic resource mobilization going forward. They recognized that structural shortcomings have limited the effectiveness of Peru’s large crisisresponse package and noted that Peru is one of the COVID-19 hardest hit countries worldwide in terms of the number of lives lost and the depth of economic recession. Directors welcomed how the operation combines measures with immediate results, including curbing the rise in poverty and protecting jobs, with setting the foundations for green, inclusive, and resilient recovery. They also appreciated the measures addressing competition, supporting SMEs and promoting financial inclusion and digitalization. Directors appreciated the innovative and institution building elements of the policies supported by the operation and their potential for global knowledge transfer. They also underlined the importance of effective coordination within the World Bank Group but also with the IMF, the IDBand other development partners to support the implementation of reforms. *This Summary is not an approved record.

FAQs

What decision did the Executive Directors make regarding the DPL to Peru?

They approved the Strengthening Foundations for Post COVID-19 Recovery Development Policy Loan to Peru for US$750 million under the President’s Memorandum terms and conditions.

Why did directors emphasize local consultation, elections context, and monitoring?

To ensure effective implementation, strengthen commitment under ongoing conditions, and manage risks given upcoming elections, requiring close monitoring.

Which coordination and policy focus areas were highlighted beyond the loan measures?

Directors highlighted the need for coordination within the World Bank Group and with the IMF, IDB, and other development partners, and stressed shifting focus toward domestic resource mobilization.

Jul 19, 2026

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