Particle.news
Download on the App Store

Peru’s Government Weighs Constitutional Challenges to Congress-Approved Spending Laws

The move follows a Fiscal Council warning that recent statutes could add about 36 billion soles a year, threatening the budget balance.

Overview

  • Prime Minister Ernesto Álvarez said the Executive is evaluating filings before the Constitutional Court to overturn laws it argues jeopardize fiscal equilibrium.
  • A constitutional expert underscored that any legal action must be brought law by law, requiring targeted complaints rather than a single omnibus case.
  • The Fiscal Council’s alert tallied potential annual costs near 36 billion soles, including an estimated 8.5 billion from the FONCOMUN expansion under Law 32387.
  • Acting President José Jerí previously backed or signed several measures now under scrutiny, including tax and pension changes and CAS benefits proposals with multibillion-sol impacts.
  • Álvarez voiced support for Julio Velarde to remain at the central bank, noting that the final decision will fall to the administration elected in 2026.