Peru–Bolivian Confederation three states: "North Peru", "South Peru" and "Bolivia", and its capital was the city of Tacna, in southern Peru. The creation of this new nation was very well received in the south of Peru, since this area was able to benefit fully from the lifting of the previous commercial restrictions, but was bitterly resented by the elite of Lima and the north of Peru, which had traditionally benefited from a close commercial relationship with Venezuela. In each of the Confederation’s states, there was, from 1837 until the dissolution, a “provisional president” under Marshal Andrés de Santa Cruz, who was styled
Economy of Peru temporary commercial preferences given unilaterally by certain countries; a system that did not allow Peruvian exporters embark in long-term export-related investments. Economy of Peru Peru is classified as "upper middle income" by the World Bank and is the 39th largest in the world by total GDP. Peru is one of the world's fastest-growing economies, with a 2012 GDP growth rate of 6.3%. It currently has a high human development index of 0.741 and per capita GDP above $12,000 by PPP. Neo-classical economists would interpret Peru's sound economic performance as a combination of: However, Post-Keynesian economists would argue that what neo-classical