Despite social conflicts, mining sector fuels Peruvian economic growth

On Tuesday, Peruvian Finance Minister Alonso Segura told local Peruvian broadcaster RPP that the country’s economy had likely grown by approximately 4% in April over the same month from the previous year. This represents a sizeable increase from the 2.68% growth in March and last year’s growth rate of 2.35% in April.

A sharp increase in mineral production boosted the Peruvian mining industry, which in turn helped drive the overall economic growth for the Peruvian economy. Nonetheless, Segura added that Peruvian President Ollanta Humala will ask Congress to pass a series of reforms designed to strengthen the country’s economy.

In mining-related news, illegal miners in the Algamarca and La Chilca areas of the Cajamarca region produce more than 25 kg of gold each week without any kind of supervision or control from local authorities. This means that their gold mining operations’ pollution of the local environment goes totally unchecked and they pay no taxes. Local authorities are trying to draw the federal government’s attention to this situation after two miners died in a mining accident in La Chilca. None of the local Peruvian officials wanted to take any responsibility for policing this situation.

As for Peru’s much-discussed Tía María copper mining project, Southern Peru president Óscar González announced that the company will soon implement a communications plan to clear up doubts about the mining project. Hopefully this initiative is launched in time to salvage the embattled project. González also expressed a willingness to extend the 60-day suspension of the Tía María project if necessary.