Economic challenges reported in Cusco and Jujuy

In Cusco, Peru, the Private Council for Competitiveness reported that 1,396 public investment projects have failed to execute any budget as of August 2024. This represents 27% of the region's total project portfolio. Many of these stalled projects, including eight of the ten most expensive, are related to water and sanitation services in municipalities such as Megantoni, Livitaca, Maras, Santo Tomás, and Layo.

Economist Bryan Camiloaga attributed this lack of execution to management issues and technical incapacity within public entities. He noted that a previous evaluation showed only 13% of local government personnel handling public investment passed required knowledge tests.

In Jujuy, Argentina, the Metalworkers' Union (UOM) warned of a decline in metallurgical activity, with productivity falling below 40%. The union cited a lack of demand, linked to the halt of public works, and a shift in the agricultural sector from purchasing new machinery to performing partial repairs on existing equipment. Additionally, the sector is facing rising costs, with steel and welding supplies increasing by over 60% since the start of the year.