Peru Authorizes $2 Billion Petroperu Loans as Oil Firm Faces $500 Million Short-Term Crunch
Updated
Updated · Bloomberg · May 11
Peru Authorizes $2 Billion Petroperu Loans as Oil Firm Faces $500 Million Short-Term Crunch
8 articles · Updated · Bloomberg · May 11
$2 billion in private borrowing was authorized by Peru for Petroperu under an emergency decree aimed at easing the state oil company's liquidity crisis.
The measure lets the Finance Ministry assume contingent commitments with domestic or international lenders and also covers up to $500 million in short-term obligations.
Petroperu had warned of its cash squeeze weeks earlier, prompting the government to publish the rescue details in the official gazette on Monday.
The move underscores Peru's effort to keep the ailing state-owned refiner operating while shifting immediate support to privately sourced financing.
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