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Introduction: Ancient Peru was the seat of several prominent Andean civilizations, most notably that of the Incas whose empire was captured by the Spanish conquistadors in 1533. Peruvian independence was declared in 1821, and remaining Spanish forces were defeated in 1824. After a dozen years of military rule, Peru returned to democratic leadership in 1980, but experienced economic problems and the growth of a violent insurgency. President Alberto FUJIMORI's election in 1990 ushered in a decade that saw a dramatic turnaround in the economy and significant progress in curtailing guerrilla activity. Nevertheless, the president's increasing reliance on...

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Economic Overview: Peru economic fact sheet [PDF] (http://www.dfat.gov.au/geo/fs/peru.pdf)

Economic and trade policy directions

Since the 1990s, successive governments have sought to restructure Peru's economy, dramatically improving the government's fiscal position. Peru is currently enjoying its longest expansion on record, with low inflation, a solid external position and declining indebtedness ratios. Public expenditure has been reduced through the abolition of subsidies and the privatisation of state-owned companies. Trade barriers have been cut, direct subsidies to exporters and domestic producers have been ...

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History: The Inca Empire and Spanish Conquest

When the Spanish landed in 1531, Peru's territory was the nucleus of the highly developed Inca civilization. Centered at Cuzco, the Incan Empire extended over a vast region from northern Ecuador to central Chile. In search of Inca wealth, the Spanish conqueror Francisco Pizarro, who arrived in the territory after the Incas had fought a ...

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International Relations: Relations with neighbours

Peru's relations with Ecuador have grown stronger in recent years, helped by the settlement of border disputes. In October 1998, Peru and Ecuador signed a peace treaty, which marked the end of the last and longest-running source of international armed conflict in the Americas. The agreement gave Ecuador access to, but not sovereignty over, 1 square kilometre of land at Tiwinza in the Cordillera del Condor border area, near the site of the brief war in January 1995. Both the Peruvian and Ecuadorian Congresses ratified the agreement in November 1998. The formal demarcation of the Peru-Ecuador ...

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(S/.) Peruvian Nuevo Sol (PEN)
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