Peru President Ousted in Surprise Impeachment Vote
Peru’s President Martin Vizcarra was forced out of office when congress unexpectedly voted to impeach him, plunging the nation into political crisis as it recovers from one of the world’s deepest slumps. Legislators voted 105-19 in favor of removing Vizcarra over corruption allegations, a larger-than-expected tally that surprised observers in the politically volatile country. The head of congress, Manuel Merino, will be sworn in as interim president at 5 p.m. on Tuesday. Markets were shut when the vote took place, but Vizcarra’s ouster will likely heighten investor fears about the nation’s political volatility. Merino will be the third president in a single five-year term. “I can’t see how this won’t be perceived badly by investors,” said Alonso Segura, who served as finance minister from 2014 to 2016. “The only question is how badly.”
The currency and stock market will sell off and country risk will rise, pushing up borrowing costs, he said in a phone interview. Most analysts had expected Vizcarra to survive the vote, as he survived the previous impeachment attempt in September. His removal comes just five months before the next general election, which is scheduled for April. Recent polls showed that most Peruvians opposed the ouster. Protesters gathered in the San Martin square, a few blocks from congress, some holding banners saying “no to impeachment”. One lawmaker who voted for the motion was punched in the face near congress, apparently by a member of the public. In other parts of Lima, people stood at their windows banging pots in protest.
The economy shrank 30.2% in the second quarter, the biggest crash suffered by any major nation, and Peru has also been among the countries worst hit by deaths from Covid-19. Prosecutors are investigating allegations that Vizcarra took 2.3 million soles ($642,000) in bribes from companies building infrastructure projects in the Moquegua region, where he was governor from 2011 to 2014. He denies any wrongdoing, and said the accusations were designed to undermine trust in his administration.
https://www.bloomberg.com/news/articles/2020-11-10/peru-president-ousted-after-losing-impeachment-vote-in-congress
SAM118 C-40B left Lima last night after a ground stop in La Paz, Bolivia prior to Lima arrival-left JBA on Nov 7th