Peru ousts a president under the shadow of Chinese meddling
The Economist
February 19, 2026
AI-Generated Deep Dive Summary
Peru’s political landscape took another dramatic turn as interim president José Jerí was impeached by Congress on February 17th, marking the country’s eighth change in leadership over the past decade. The move came under the symbolic backdrop of China’s "Year of the Fire Horse," traditionally associated with upheaval and transformation. This latest ousting highlights Peru’s ongoing political instability and raises questions about its relationship with China, a key investor in the South American nation.
José Jerí, who assumed office just months ago following former president Pedro Castillo’s removal, faced accusations of “moral infamy” and “illicit association,” leading to his impeachment. This decision by Congress underscores the deepening crisis of legitimacy in Peruvian politics, with critics arguing that frequent changes in leadership hinder progress on key issues like economic reform and anticorruption efforts.
Peru’s political instability has significant implications for its business environment. The country is a major destination for Chinese investment, particularly in infrastructure projects such as ports, highways, and energy facilities. However, the constant shuffle of leaders creates uncertainty for foreign investors, potentially affecting the flow of capital into key sectors like mining, agriculture, and manufacturing.
Additionally, the impeachment comes amid growing concerns about China’s influence in Peruvian politics. While Beijing has denied allegations of meddling, critics suggest that Peru’s political instability could be exploited by external actors to shape the country’s economic and foreign policies. This dynamic raises important questions about the long-term sustainability of Peru’s business ties with China.
For businesses operating in or considering investments in Peru, the current situation underscores the importance of navigating a complex and unpredictable political environment. The frequent changes in leadership, coupled with accusations of foreign interference, create risks that companies must carefully manage. As Peru seeks to stabilize its government and economy, the outcome will have far-reaching consequences for its business relationships both within Latin America and globally.
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Originally published on The Economist on 2/19/2026