After more than 55 years in Peru, USAID has evolved from providing assistance for basic service delivery and economic growth, to supporting a strategic partnership that advances shared U.S. and Peruvian interests. USAID’s programs strengthen Peruvian institutions to: 1) promote licit livelihoods in coca-growing areas through alternative rural development; 2) improve sustainable natural resource management and capacity to fight environmental crimes; and 3) strengthen governance to reduce corruption and improve the effectiveness of public investment. These efforts are aligned with U.S. national security and foreign policy goals to promote security and rule of law in the Americas and sustain strong economic growth and trade.

Promote licit livelihoods in coca-growing regions

USAID is helping the GOP advance its National Counter-Drug Strategy by supporting alternatives to coca cultivation and strengthening the its capacity to confront drug cartels.  The GOP negotiates with communities to give up coca and join the licit economy.  USAID then helps farmers to plant cacao and coffee and connects them to farmer producer associations. Producers associations ensure that farmers are linked to markets, allowing farmers to draw higher prices for their crops.  These efforts have have made the rural economy more dynamic in targeted areas and sparked an uptick in private investment in these isolated regions.  USAID has signed agreements to leverage more than $70 million in private sector investment in rural regions. This successful model has lifted thousands of rural Peruvian families out of poverty and enabled them to move away from coca cultivation.  Over the last five years, families participating in USAID programs have seen their incomes increase by 53 percent; in USAID target regions, extreme poverty dropped from 55 to 30 percent.

Improve sustainable resource management

Alluvial gold mining devastates Peru's Amazon communities, forests and water supplies.  Illegal logging is deforesting the Amazon, fueling transnational crime and undercutting international timber markets.  USAID works with the GOP, local communities, Peruvian research organizations, and U.S. universities to help address these critical threats to the Amazon.  Efforts focus on helping communities resolve social conflicts, promote sustainable economic development, and rehabilitate deforested and degraded land.  Programs also focus on helping communities implement measures to improve water security, which is under increasing pressure due to climate variability.  In 2017, USAID support enabled Peru’s National Forestry Wildlife System to launch a new electronic timber tracking and control system to monitor Peru’s timber supply chain in real-time and detect and stop illegal timber shipments.

Strengthen governance to reduce corruption

Effective government institutions that represent the interests of all citizens are essential for economic growth and prosperity. Throughout Peru, and especially in remote rural areas, government organizations often lack the capacity and resources to be effective. High levels of corruption further limit the government's ability to fulfill its mandate and undermines public confidence in democracy itself. To address these issues, USAID has partnered with the Government of Peru, local and regional governments, and civil society to improve the quality of public services, prevent corruption and promote transparent governance. Initiatives include tackling illicit money in campaign finance, supporting citizen oversight mechanisms for major infrastructure projects and combating trafficking in persons.   USAID also works with GOP institutions to improve the integrity and quality of public procurement and to promote transparency in the management of public funds.