I will admit that I don't know much about Peruvian politics, despite having done a project on it in 7th grade.
However, I do know that Alan Garcia, el Presidente de Peru, enacted in 2006 a new law that requires foreign NGOs to register with the government.
To the ordinary University of Chicago (undergraduate) economist, this sounds suspicious. Why would you want the government interfering with private matters? This is normally bad news.
However, in this case, the registration of NGOs is a positive. The law was enacted to keep an eye on groups that support communism and hurt freedom--such as the Shining Path (see last post). So, Garcia is really just trying to preserve freedom and stability in Peru, which is really important for the health of the Peruvian economy. Your typical humanitarian organization is not effected at all and there are no taxes levied on these groups.
How does this effect me? It doesn't. I'm coming to Peru on a grant and not with my organization (sneaky, eh?), and hopefully I will partner with MiBanco--a Peruvian MFI that the World Bank has set me up with--anyways. Plus, I'm doing capitalist work, and giving away thousands of dollars, so they really shouldn't be too upset.
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