BMI View: Government efforts to better protect Peru’s energy infrastructure from guerrilla attacks are critical for continued growth of the energy sector. Despite this, the underexplored nature of the energy sector, combined with an increasingly attractive business environment for foreign investment, creates upside risk to our forecasts. It also supports our view that Peru will remain one of the most dynamic economics in Latin America over the forecast period. The potential departure of two major foreign investors, Repsol and Petrobras, represents a setback, but new licensing initiatives should draw in fresh international oil company interest. The main trends and developments …
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