Reformism and External Debt in Peru, 1963-1976

Reformism and External Debt in Peru, 1963-1976
20 February 2019, 5.30pm - 7.30pm
Room 243, Second Floor, Senate House, Malet Street, London WC1E 7HU

Dr. Oscar Ugarteche, Instituto de Investigaciones Económicas, UNAM

This talk will examine US responses to Peruvian efforts to modernize and diversify the economy.  Reformist governments of the 1960s were met with US retaliatory measures originally designed for the Cuban revolution.  The US blocked multilateral credit sources like the World Bank and the newly created IDB as well as the then thriving US Eximbank and the Alliance for Progress.  Tax reform efforts in the Peruvian Congress were thwarted by then majority opposition parties UNO and APRA, leading to a balance of payments squeeze in 1967.  Subsequent efforts to tax or nationalise delinquent foreign mining companies, led by the reformist military government of Velasco, were met with covert, US-backed political strategies that allied with APRA and conservative generals to overthrow the regime in 1975.   The visit of Henry Kissinger to Lima in 1976 sealed the deal.  In short, tax reforms were never put in place and foreign interests were protected

Chair: Professor Mark Thurner, ILAS


Olga Jimenez
020 7862 8871