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Regulatory Policy in Peru

Assembling the Framework for Regulatory Quality

image of Regulatory Policy in Peru

Regulation is one of the key levers of government intervention. When properly designed, it can help achieve environmental and social objectives, and contribute to economic growth. The OECD Review of Regulatory Policy of Peru assesses the policies, institutions, and tools employed by the Peruvian government to design, implement and enforce high-quality regulations. These include administrative simplification, evaluation of regulations, public consultation, and the governance of independent regulators, amongst others. The review provides policy recommendations based on best international practices and peer assessment to strengthen the government’s capacity to manage regulatory policy.

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Multi-level regulatory governance in Peru

Peru is a unitary presidential state, but despite this configuration it has three levels of subnational governments with significant regulatory powers. This setting calls for the establishment of strong governance arrangements that promote co-ordination across levels of governments in order to ensure regulatory coherence and complementarity, and balanced regulatory quality efforts. Despite having mechanism between central and subnational governments to promote the co-ordination of public policies, including fiscal incentives to local governments to encourage them to apply measures of regulatory quality, these have fallen short. As a consequence, there is ample room to seek regulatory coherence across level of government, and promote the adoption or regulatory policy tools by regional and local governments. With the exception of policies on administrative simplification, subnational governments in Peru should apply mechanisms of ex ante assessment of regulation, and of public consultation in the rule making process.

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