Mining revival in Peru: A Modern Version of an Old Curse?

The renewed importance of mining in the Peruvian economy and the expectation of new investments in the sector have nourished the hope of reducing the poverty levels and overcoming political instability. That is why Peru maintains itself within orthodox politics and economy. Recent governments have kept a strict macroeconomic stability and, since 2001, they have encouraged a political agenda that stresses decentralisation, participation, and collaboration between private initiatives and public institutions. However, the increase of conflicts around mining operations questions the capacity of mining to promote development. I contend that in the context of a state with important limitations, the simplistic implementation of the new political agenda generates a new form of “curse of the resources” that consists of two changes: a) the appearance of new political actors; b) the emergence of the sub-national level as the crucial space in which this “curse” is manifested.