Nicola Ware Head of UK Trade & Investment British Embassy

Some figures Some figures Some problems Some problems What is EITI? What is EITI? Is EITI important? Why? Is EITI important? Why? How is Peru doing? How is Peru doing? Peru, Mining and EITI

Some figures

Peru: a mining nation – 2005 production 2005 Production World Ranking Latin America Ranking Copper (MT)1,009,89852 Zinc (MT)1,201,67131 Lead (MT)319,34541 Gold (oz)6,903,58751 Silver (oz)106,072,25122 Tin (MT)42,14531 Source: Ministry of Energy and Mines

Mining means income…share of national corporate income tax % Source: SNMPE

Mining means income... Total exports US$bn Source: MEM

…and income means growth. GDP growth 1991 – 2005 Av. Mining GDP growth = 8.6% Av. National GDP growth = 4.2% (1991 = 100) Source: SNMPE

…and growth means income where it’s needed MINING CANON 50% OF IR FROM MINING 10% DISTRICT 25% PROVINCE 40% DEPARTMENT 25% REGIONAL GOVERNMENT INVESTMENT PROJECTS

Construction of 850 kms of asphalted roads Construction of 850 kms of asphalted roads Maintenance of 1752 kms of roads Maintenance of 1752 kms of roads Provision of educational material to 100,000 pupils Provision of educational material to 100,000 pupils 764 health campaigns benefiting 300,000 people 764 health campaigns benefiting 300,000 people Training of 8,800 teachers Training of 8,800 teachers Installation of 315 km of electricity lines, benefiting 156,000 people Installation of 315 km of electricity lines, benefiting 156,000 people Provided temporary employment for 30,000 people Provided temporary employment for 30,000 people Canon Minero – some results (2000 – 2005) Source: SNMPE

Some problems

23 de mayo del 2004

Trust in public sector institutions is lower in Peru than anywhere in Latin America LACK OF TRUST