Peru’s informal sector reduced by 6.7% over the last eight years, dropping from 79.9% in 2007 to 73.2% in 2015, Peru’s National Institute of Statistics and Informatics (INEI) informed during the presentation of the Satellite Account of the Peruvian Informal Economy 2007-2015.
Such decline was reflected in all occupations, particularly in employers (-15.6%), wage earners (-8.3%) and self-employed workers such as ice cream vendors, mechanics, shoemakers, street vendors, among others (-2.6%).
Likewise, informal employment fell across all economic activities: construction (-9.6%), trade (-9.1%), manufacturing (-8.5%), mining (-6%), transport and communications (-5.7%), restaurants and accommodation (-4.9%), farming and fishing (-1.6%) and other services (-8.8%).
Informality across the country
Regarding the geographic distribution, the informal sector in rural areas (95.8% of working population) was higher than that in urban areas (65.9%).
Peruvian regions with the highest informality rates are Huancavelica (90.3% of working population), Ayacucho (89.7%), Cajamarca (89.5%), Puno (89.3%), Apurimac (88.3%), Amazonas (87.2%), Huanuco (87%), San Martin (83.3%) and Cusco (83%), where economic activity is centered on agriculture.
Non-agricultural
On the other hand, non-agricultural informal employment saw a 7.6% decline, falling from 72.6% in 2007 to 65% of working population in 2015. Said result was mainly influenced by construction, trade and manufacturing sectors.
(END) MMG/JJN/DHT/RMB
Published: 12/3/2016