On Wednesday, May 2nd, the head of the ministerial cabinet, César Villanueva, presented the new cabinet before the Congress. He explained his government priorities, stressing the main public policies of the new management and the performance projections. The decision was made on the verge of midnight and after more than twelve hours of debate, with 94 votes in favor, 19 against and 2 abstentions. The Executive now faces the challenge of achieving results in the short term.
During his presentation Villanueva proposed the gradual substitution of tax exemptions. He said that the goal is to gradually reduce the fiscal deficit by the year 2021 “and increase the tax burden by 2.4 points of the GDP until reaching 15.3% in 2021”. He clarified that the government will focus on cost optimization and better management. He said that “we will not resort to the shortcut of significantly increasing tax rates. We will aim, mainly, to make the fundraising work of the Sunat (tax collection agency) more efficient.” In this way he aims to expand the economy by at least 5% by the year 2021.
With this objective, the Premier introduced a bill requesting delegated powers in tax and financial matters, economic management, competitiveness, reconstruction and inequality reduction, integrity and fight against corruption, which would allow the Executive to act quickly.
The Cabinet of Ministers approved is as follows
- President of the Council of Ministers: César Villanueva
- Minister of Economy: David Tuesta
- Minister of Energy and Mining: Francisco Ísmodes
- Minister of Justice: Salvador Heresi
- Minister of Foreign Affairs: Néstor Popolizio
- Minister of Transport and Communications: Edmer Trujillo
- Minister of Culture: Patricia Balbuena
- Ministry of Foreign Trade and Tourism: Rogers Valencia Espinoza
- Minister of Health: Silvia Ester Pessah
- Minister of the Interior: Mauro Medina Guimaraes
- Minister of Housing: Javier Piqué
- Minister of Agriculture: Gustavo Mostajo
- Minister of Production: Raúl Pérez-Reyes (*)
- Minister of Environment: Fabiola Muñoz
- Minister of Labor: Christian Rómulo Martín Sánchez Reyes
- Minister of Education: Daniel Alfaro
- Minister of Development and Social Inclusion: Liliana La Rosa
- Minister of Defense: José Huerta
- Minister of Women and Population: Ana María Mendieta
(*)Raúl Pérez-Reyes replaced Daniel Córdova, who resigned as Minister of Production on April 25, after a video was released in which he offered the position of Deputy Minister of Production to the Fishermen’s Guild, to stop a strike.