Peru's Castillo will struggle to stay in office

Significance

His immediate predicament is how to overcome accusations of involvement in corruption that could lead to a fresh attempt to impeach him. Castillo appears intent on trying to ride out the storm, but the political resources underpinning his government appear to be fast diminishing.

Impacts

• Falling living standards will further erode support for the Castillo administration.
• Other Latin American countries may seek to mediate the Peruvian impasse.
• An overturning of constitutional norms, such as a coup, could provoke a violent social response.