A report released this week by Oxfam reveals significant wealth concentration in Peru, with the top 1 percent capturing 42 percent of all newly generated wealth during the 2019 to 2025 period. This represents an increase compared to the prior two decades, when the same group captured approximately 39 percent of new wealth. In stark contrast, the poorest half of the population obtained just 1.4 percent of new wealth during the same timeframe.
Oxfam collaborated with the Institute for Peruvian Studies to examine public perception of inequality in the country. The research found that 84 percent of Peruvians believe powerful interests control their government and shape policy to benefit themselves. Additionally, more than 75 percent of survey respondents stated that wealthy corporations and individuals do not pay adequate taxes. Approximately 70 percent of those surveyed expressed support for increased government action to reduce inequality, citing concerns that wealth concentration has limited access to healthcare, employment, education, and justice services.
Peru has experienced substantial political instability in recent years, with nine presidents serving over the last decade. Right-wing President Keiko Fujimori took office in July following a closely contested election. The political turbulence has been marked by investigations, scandals, and impeachments, with Congress possessing the power to remove executives based on the ambiguous standard of “moral incapacity.” Analysts suggest that powerful business and political interests have leveraged this instability to advance their commercial interests.
The country’s democratic institutions have weakened amid the political upheaval. Freedom House downgraded Peru from “free” to “partly free” status in 2023 following deadly clashes between security forces and protesters, and maintained that classification in its 2026 report. The government has also taken measures to reduce judicial oversight and diminish anticorruption agencies. High-profile corruption cases have further eroded public confidence in government institutions.
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