World Bank Backs Peru’s Arequipa Tourism Growth with $77.2 Million

Tourism remains one of Peru’s largest job-creating sectors, and the project is expected to support thousands of direct and indirect jobs throughout the tourism value chain.

The World Bank has approved a US$77.2 million project to help Peru strengthen the Arequipa–Colca tourism corridor through improved infrastructure, better public services and stronger protection of the region's cultural and natural heritage.

The initiative is designed to boost sustainable tourism, attract private investment, and create new economic opportunities for communities across southern Peru. The project will focus on making the corridor more accessible and appealing to both domestic and international visitors, helping establish the region as a leading destination for cultural, nature and adventure tourism. Officials expect the programme to generate quality employment, with women, young people and local communities among those set to benefit the most.

Tourism Project Brings Wider Development Benefits

The investment will support a wide range of improvements across the Arequipa region, including tourism infrastructure, transport networks, water and sanitation systems, healthcare services, environmental conservation and destination management.

The World Bank said these investments have been designed around market demand to improve visitor experiences while strengthening essential services for residents. Better access to key attractions, upgraded facilities and improved environmental management are expected to encourage longer stays and higher visitor spending.

Tourism remains one of Peru's largest job-creating sectors, and the project is expected to support thousands of direct and indirect jobs throughout the tourism value chain. Local businesses, artisans, farmers, transport providers and service operators are all expected to benefit from increased tourism activity.

Regional Development Model for Future Growth

World Bank Division Director Ariel Yepez described the programme as a new model for regional development that combines tourism with investments in roads, public services, environmental sustainability and destination management. He said the integrated approach will make the Arequipa–Colca corridor more attractive to visitors and investors while helping unlock private investment, create quality jobs and expand economic opportunities across southern Peru.

The Regional Government of Arequipa will implement the project with technical support from Peru's Ministry of Trade and Tourism. The World Bank believes the initiative could serve as a model for future regional development programmes, demonstrating how coordinated investments across multiple sectors can unlock the economic potential of local communities.