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Peru Authorizes Over S/478 Million to Unblock Regional and Local Projects

Funds target stalled works under strict spending limits.

Overview

  • The Executive published two supreme decrees that move more than S/478 million to regional and local investment.
  • Decreto Supremo Nº 052-2026-EF adds S/419,948,514 to this year's budget to finance 982 projects for subnational governments.
  • Decreto Supremo Nº 053-2026-EF transfers S/58,274,953 from the MEF contingency reserve to fund 33 municipal works in sanitation, health, transport, education, agriculture and public safety.
  • The money comes from 2025 funds that went unspent at year-end and must be used only for the authorized projects.
  • Many regions and municipalities have a record of slow execution, which could blunt the near-term impact unless management capacity improves.