This month, Peru takes center stage as it hosts the Asia-Pacific Economic Cooperation (APEC) Economic Leaders' Meeting for the third time, following successful gatherings in 2008 and 2016. In a world marked by complex geopolitical shifts and economic challenges, APEC Peru 2024 emerges as a pivotal moment for the nation to drive collective decisions and foster prosperity across the Asia-Pacific region.
Strengthening Multilateral Ties for Economic Integration
APEC has long been a cornerstone of economic and sectoral cooperation, uniting some of the world's most dynamic economies. For Peru, hosting APEC once again highlights its strategic role in the Asia-Pacific region and its dedication to facilitating regional dialogue, collaboration, and the sharing of best practices to maintain a stable and peaceful environment.
Over the past 35 years, APEC has been instrumental in promoting trade and investment. This year, Peru aims to build on this legacy by advancing critical initiatives tailored to today’s realities, such as integrating the digital economy, transitioning to green energy, and fostering inclusive and sustainable economic growth.
A significant achievement under Peru's APEC presidency has been the restoration of consensus within the forum after a period of fragmented discussions. To date, 15 key outcomes have been unanimously approved, encompassing 10 ministerial declarations and five technical-political instruments. These cover vital areas like economic inclusion for people with disabilities, women and trade, low-emission hydrogen development, sustainable finance, and energy transitions in the Asia-Pacific.
Looking ahead, during the APEC Economic Leaders' Meeting from November 10 to 16, Peru anticipates approving four new ministerial declarations, with the most notable being a roadmap for the transition to a global and formal economy.
Leveraging APEC for Domestic Economic Boost
Hosting APEC 2024 presents Peru with a unique opportunity to invigorate its domestic economy. The event is expected to attract around 5,000 delegates for the Leaders' Meeting, 1,200 CEOs and leaders for the APEC CEO Summit, and 2,500 journalists, making it one of the largest gatherings in APEC's history.
This high level of engagement allows Peru to showcase itself as a reliable partner and highlight its investment opportunities. By doing so, Peru aims to reinforce its strong macroeconomic fundamentals and its robust regulatory and legal framework, making it an attractive destination for investment from the Asia-Pacific and beyond.
The economic landscape within the APEC region is already promising for Peru. In 2023, exports to APEC economies accounted for 68.5 percent of Peru's total international transactions. Since joining APEC in 1998, Peruvian exports to member economies have surged by 14.7 times, underscoring the forum's crucial role in Peru's economic expansion.
Moreover, over 70 percent of Peruvian companies exporting to APEC are micro and small enterprises, highlighting the significant opportunities available for these businesses to integrate into regional and global supply chains.
A key highlight of APEC 2024 will be the signing of an updated free trade agreement (FTA) between Peru and the Chinese mainland during President Xi Jinping's upcoming visit. This enhanced FTA aims to integrate the global supply chain, bolster environmental protection, and expand e-commerce, all of which are reshaping international trade dynamics. This trade deal is set to increase transaction volumes and diversify Peru's export base, reducing its heavy reliance on mineral exports by promoting growth in sectors like agriculture and high-value fisheries.
Reference(s):
APEC 2024 in Peru: A vision of opportunity amid geopolitical shifts
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