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Editor’s Pick of the Week – Week Ending July 13, 2025
In July 2025, Peru’s central bank warned that mining protests could cut 0.2 percentage points from monthly GDP growth. The unrest, led by informal miners opposing their removal from the REINFO formalization registry, has blocked key transport routes for major copper producers like Las Bambas and Constancia.
While aimed at curbing illegal mining, the government’s move lacked consultation and support—igniting backlash in regions where informal mining sustains local economies. The episode reveals a critical gap: social license to operate must extend beyond formal actors. Exclusionary policies risk sector-wide instability and erode investor confidence in a country where mining drives 10% of GDP and over 50% of exports.
To restore trust, Peru must rethink formalization as a participatory process—not just enforcement. Lasting stability depends on inclusive dialogue and shared legitimacy across the entire mining ecosystem.
