Keiko Fujimori Sworn In as Peru's President, Cementing Regional Rightward Shift

Keiko Fujimori was inaugurated as Peru's president on Tuesday, becoming the nation's first elected female head of state and capping a remarkable political comeback. Her presidency marks a significant conservative shift for the country and extends a broader rightward trend across Latin America, as reported by Reuters.

A Mandate Amid Division

Fujimori, 51, assumes leadership of a nation that has seen profound political instability, becoming its 10th president since 2016. Her narrow victory in June's runoff election over leftist congressman Roberto Sanchez returns one of Peru's most polarizing political dynasties to power. Sanchez has alleged electoral fraud without providing evidence and has pledged to lead an opposition bloc.

Demonstrations against her presidency are planned to coincide with the inauguration, highlighting the deep divisions she must navigate. In a sign of the legislative challenges ahead, Fujimori's Popular Force party will hold the largest minority bloc in a newly bicameral Congress, but the opposition secured leadership of the lower house, the Chamber of Deputies.

Economic Challenges and Key Appointments

To steer the economy, Fujimori has appointed former central bank board member Elmer Cuba as economy minister. Peru's economy, heavily reliant on copper exports, has shown resilience, with the central bank forecasting 3.4% growth for 2026. However, recent data from May showed a sharp slowdown as fishing and agricultural output fell, exposing vulnerabilities to climate shocks.

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Political analyst Jeffrey Radzinsky noted the difficult path ahead, stating, "There won’t be much room for a honeymoon period." He added, "She has to build confidence among a broad segment of the population that distrusts her, while also meeting high expectations."

Foreign Policy and Regional Alliances

Fujimori has signaled a foreign policy agenda focused on closer ties with the United States, expressing interest in joining the "Shield of the Americas," a regional anti-crime initiative proposed by U.S. President Donald Trump. Her administration also named Carlos Espa, a former presidential candidate with experience at the U.S. Embassy in Lima, as foreign minister.

This alignment comes as Washington seeks to deepen its relationship with Peru, a strategic producer of copper and critical minerals, to counter China's growing influence in the region. The inauguration was expected to be attended by several conservative regional leaders, including Argentina’s Javier Milei and Chile’s Jose Antonio Kast.