Location: Western South America, bordering the South Pacific Ocean, between Chile and Ecuador.
Land Area: 1,285,220 sq km (496,224 sq miles)
Coastline: 2,414 km (1500 miles)
Highest Point: Nevado Huascaran 6,768 m (22,199.04 ft.)
Lowest Point: Pacific Ocean (0 m)
Notable Landmarks: Take a peek...

Peru's economy reflects its varied geography --- an arid coastal region, the Andes further inland, and tropical lands bordering Colombia and Brazil. Abundant mineral resources are found in the mountains. Peru's coastal waters provide excellent fishing. However, overdependence on minerals and metals subjects the economy to fluctuations in world prices, and a lack of infrastructure deters trade and investment. After several years of inconsistent economic performance, the Peruvian economy was one of the fastest growing in Latin America in 2002 and 2003, growing by five percent and four percent respectively, with the exchange rate stable and an annual inflation lower than two percent. Foreign direct investment also was strong, thanks to the ongoing Camisea natural gas pipeline project (scheduled to begin operations in 2004) and investments in gold mining. Risk premiums on Peruvian bonds on secondary markets reached historically low levels in late 2003, reflecting investor optimism and the government's fiscal restraint. Despite the strong macroeconomic performance, political intrigue and allegations of corruption continued to swirl in 2003, with the Toledo administration growing increasingly unpopular, and local and foreign concern rising that the political turmoil could place the country's hard-won fiscal and financial stability at risk. Moreover, as of late 2003, unemployment had yet to respond to the strong growth in economic activity, owing in part to rigid labor market regulations that act as an impediment to hiring.

Gross Domestic Product (GDP): $164.5 billion (2005 est.)
GDP Per Capita: $5,900 (2005 est.)
Number of Workers: 9.06 million (2005 est.)
Unemployment Rate: 7.6% in metropolitan Lima; widespread underemployment (2005 est.)
Industries: mining of metals, petroleum, fishing, textiles, clothing, food processing, cement, auto assembly, steel, shipbuilding, metal fabrication.
Currency: nuevo sol (PEN)

Type of Government: Constitutional republic
Head of State: President Alan GARCIA Perez (since 28 July 2006)
Head of Government: President Alan GARCIA Perez (since 28 July 2006)
Capital City: Lima
Legal Age to Vote: 18 years of age; universal and compulsory until the age of 70. Note - members of the military may not vote.
Flag Design: three equal, vertical bands of red (hoist side), white, and red with the coat of arms centered in the white band; the coat of arms features a shield bearing a vicuna, cinchona tree (the source of quinine), and a yellow cornucopia spilling out gold coins, all framed by a green wreath.
Official Language: Spanish (official), Quechua (official), Aymara, and a large number of minor Amazonian languages.
Religions: Roman Catholic 81%, Seventh Day Adventist 1.4%, other Christian 0.7%, other 0.6%, unspecified or none 16.3% (2003 est.)

Ancient Peru was the seat of several prominent Andean civilizations, most notably that of the Incas whose empire was captured by the Spanish conquistadores in 1533. Peruvian independence was declared in 1821. 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 authoritarian measures and an economic slump in the late 1990s generated mounting dissatisfaction with his regime. Fujimori won re-election to a third term in the spring of 2000, but international pressure and corruption scandals led to his ouster by Congress in November of that year. A caretaker government oversaw new elections in the spring of 2001, which ushered in Alejandro Toledo as the new head of government.