Peru will seek 'a new deal' with its all-important mining sector by providing incentives for projects with 'social profitability' in the world's No. 2 copper producer, new Energy and Mining Minister Ivan Merino told Reuters.
Demonstrators block a road access to a copper mine during a protest in Fuerabamba, Apurimac, Peru March 29, 2019. REUTERS/Mitra Taj
In his first interview since becoming minister on Thursday, he said mines not only need to make money for private companies and generate tax revenue. They should also help the population through improved infrastructure, respect for indigenous communities and better environmental protection, he added.
Merino, who had run a conflict resolution firm before becoming minister, said he would develop the mining sector using a "territorial" approach in a country known for its varying regions, cultures and ecosystems. Castillo named moderate economist Pedro Francke as finance minister late on Friday, a move seen as an olive branch to financial markets rattled by a possible hard left policy swing. Earlier, Castillo named Guido Bellido, a hardline Marxist, as prime minister.Castillo had promised to raise mining taxes to finance greater investment in health and education, but Merino said any new taxes would be decided on a company-by-company basis. "We cannot generalize.
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