Author(s): Edwin Ramirez-Asis, Juan Vilchez-Carcamo, Edwin Asnate-Salazar, Rosario Huerta-Soto, Judith Flores-Albornoz, Magna Guzman-Avalos
In spite of global economic crisis, Peru is managed to stabilize its economy with a positive growth rate. The country is mainly worked on the process of controlling poverty. Industrial development is one of the prominent sectors for the development of Peru, it contributes 30.58 percent of the overall gross domestic product of the country in 2019. The unemployment rate at 6.6 percent in the same year alarming the policy makers to enhance the development of industrial sector. It requires a large quantum of capital flow generated from internal induced investment and also from the foreign direct investment. The manufacturing sector is in decline with negative of 1.7 percent in 2019. It was the steep fall from 6.7 percent of growth in the year 2018. Industrial production from agricultural-based industrial operations, pharmaceutical manufacturing, infrastructure, mining, energy and automobile industries to be enhanced with liberal monetary policy. Considering these elements, the present study aims to address the problems and opportunities of industrial sector development and economic progress through generating new employment avenues. Because the industrial sector contributes 32.7 percent of the total GDP. Among the total industrial sector, the mining industry, fishing industry and the manufacturing industry plays key contributions. On the whole, to conclude the study, the Peru has practising a well sustainable financial and economic growth in the recent decades. The country is established as a middle-income country from a low income country. Though, the improved condition of social and economic indicators, the country could not able to create more employment opportunities as desired or required by the people and the major goal of the country to eradicate poverty fully is not possible. Moreover, 50 percent of the people who engaged in economic activity are in informal sector.