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These are the 11 regions of Peru with the greatest potential for hotel investment

Eleven regions of the Andean country stand out for their current hotel offering, the number of visitors they receive, and their proximity to tourist attractions, among other reasons.

In the last two decades, Peru has become an attractive tourist destination, thanks to the promotion of its natural diversity, its cultural wealth and its historical legacy. Through the diversification of its offer, which includes authentic cultural experiences and adventure activities in coastal, mountain and jungle regions, it has managed to distinguish itself in the South American panorama.

This position achieved by the Andean country brings with it valuable opportunities for foreign direct investment (FDI) in the hotel subsector. This explains why, during the last 5 years, Peru has become the second favorite destination for global tourist FDI in Latin America and the first in South America, in terms of the number of declared investment projects. 

Regions with the greatest potential

According to the study “Competitive advantages, value chain and regions with potential in the hotel industry for FDI”, carried out by PROMPERÚ, eleven Peruvian regions stand out for grouping the majority of commercial opportunities. These regions are the following:

1. Lima

2. Cusco

3. Arequipa

4. Puno

5. Ica

6. Tumbes

7. Piura

8. Lambayeque

9. Cajamarca

10. Ucayali

11. La Libertad

The potential of these eleven regions for hotel investment has been identified based on five criteria: proximity to tourist attractions (historical and/or natural), number of tourists visiting the region, current hotel supply, average annual occupancy per room, and number of hotels per km2.

It is worth noting that, on this list, Lima stands out, the region where the Peruvian capital is located and one of those with the highest hotel density, as it houses international and national chains, and Cusco, the most important archaeological region in Peru, known for having one of the 7 wonders of the modern world: Machu Picchu, and for its solid hotel infrastructure, which ranges from boutique hotels to luxury chains.

Also included are Arequipa, one of the regions with the greatest economic weight in the country and where the imposing Colca Canyon is located, considered one of the deepest in the world; and Puno, a region bordering Bolivia and possessing dazzling natural landscapes such as Lake Titicaca, considered the highest navigable lake in the world, which motivate tourists to stay in hotels that offer authentic experiences with unique landscapes.

Peru as a tourist destination

Peru has managed to distinguish itself in terms of tourism, mainly, for its incredible geographic, cultural and gastronomic diversity. Few countries in the world can boast of having beaches, snow-capped mountains and the Amazon in their territory; possessing an ancestral culture like the Inca; or offering a cuisine internationally recognized for its variety and quality. For all this (and more), Peru was awarded Best International Destination 2024 in the National Geographic Travel Readers' Award.

And if we talk about international recognition, it is essential to mention those obtained by Peruvian gastronomy. At the World Travel Awards 2024, Peru was chosen, for the twelfth time, as the Best Culinary Destination in the World. Likewise, the city of Lima is home to 3 restaurants that make up the list of The World's 50 Best Restaurants 2024: Maido, Kjolle, and Mayta. In addition, in the Peruvian capital, there is also the Central restaurant, chosen as the best in the world in 2023 and which, since then, is part of the prestigious Best of the Best category.

In terms of nature tourism, Peru is one of the 20 most diverse countries in the world (ranked 14th), and has established itself as one of the countries with the greatest ecotourism potential in the world. It has 76 protected natural areas (PNA) under national administration, 21 under regional conservation, and 134 under private conservation. At a global level, it is the 1st in having the greatest number of birds; 1st in having the greatest number of butterflies; 3rd in number of amphibians; 4th in number of mammals; and 10th in number of reptiles.

Peru as a reliable destination for foreign direct investment in tourism

Peru has a resilient economy, with solid macroeconomic fundamentals, which maintains one of the most favorable growth projections in Latin America. The good economic performance, widely recognized internationally, is based on the prudent monetary and fiscal policies that have been implemented in recent decades.

This has allowed, for example, that the inflation rate is only 2.2% in 2024; that the country risk indicators are among the lowest in the Latin American region; that our currency, the Sol, is one of the most stable among emerging market currencies; and that our public debt as a percentage of GDP (around 33%) reflects that Peru is one of the most fiscally solvent countries in Latin America.

In addition, Peru has a favorable and stable legal framework for foreign investments through legal stability agreements, as well as tax benefits that encourage investment in tourism, such as, for example, the Early Recovery of the General Sales Tax (RERA IGV) - which facilitates the recovery of the IGV of investments made in tourism projects during long pre-operational periods; Law No. 27037 - Law for the Promotion of Investment in the Amazon; and the Refund of the General Sales Tax (IGV) to non-domiciled tourists, among others.

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