Dates of last and next legislative elections:  2001/2006

Head of state: President Alejandro Toledo

AT THE LAST ELECTION

Peru is a multiparty democracy in which the president holds executive power.

Profile

The long tradition of large parties dominating politics ended with Alberto Fujimori's election as president in 1990. His "self-coup" created a compliant legislature and judiciary, and approval of a new constitution permitted his reelection in 1995. His popularity was greatly boosted by successes against hyperinflation and the Sendero Luminoso (Shining Path) guerrillas. It faded in the late 1990s as he tightened his personal control of the government, and appeared increasingly reliant on the army. Few checks on the executive remained, and Fujimori was able to obtain his third term in 2000. However, blatant electoral fraud and the corrupt use of power were exposed when his security service chief Vladimiro Montesinos was videoed bribing opposition legislators. Fujimori's position was irrevocably damaged, and he resigned in November, having fled to Japan. Fresh presidential and legislative elections in April 2001 were won by populist Alejandro Toledo and his Peru Posible (PP) party.

Main Political Issues

Disenchantment with Toledo

President Toledo promised a new start for Peru, but his low ratings in opinion polls testified to early impatience with his administration. Respondents expressed disappointment that he had failed to fulfill election promises, especially on job creation, as the government committed itself to IMF goals on structural reform and fiscal restraint.

Toledo's popularity picked up somewhat on the back of good economic results posted in 2002. He was also given credit for more direct speaking and his perceived tough stance on corruption and terrorism. Newly created regional governments threatened to increase pressure on his still weak government with a possible negative impact on fiscal stability.

The resurgence of APRA

APRA won 12 of the new regional presidencies in 2002, compared with 11 won by independents and one each by PP and SP. APRA leader Alán García, who as president had presided over a bankrupt country in the 1980s, used the result to increase pressure on Toledo for more budgetary clout for regional government, but did not press for a PP–APRA coalition. Distancing himself from a potentially unpopular government will improve his chances in the 2006 presidential elections.

From "The Financial Times World Desk Reference" © Dorling Kindersley 2004