(Bloomberg) -- Peru's prime minister resigned on Monday while President Pedro Castillo announced a reshuffle of ministers to “renew” his government team.
Prime Minister Mirtha Vasquez said via Twitter that she was quitting due to “the impossibility of reaching a consensus to benefit the country.” Castillo didn't give details of other upcoming changes, or whether they would include Finance Minister Pedro Francke, who is popular with investors.
Castillo has repeatedly made changes to his cabinet since taking office last July, as some of his close aides were hit by scandals, while the president is pulled between the need to appease hard liners in his own socialist Peru Libre party while also maintaining a working relationship with congress.
The president is contending with a series of simultaneous crises, including an environmental disaster caused by an oil spill, the resignation of his interior minister, and an increase in crime that has forced his government to declare a state of emergency in Lima, the country's capital.
Peruvian assets rallied in October after Castillo named Vasquez to replace a far-left prime minister in a bid to improve his administration's relations with lawmakers. Local markets were already closed when the cabinet overhaul was announced Monday.
Read More: Peruvian Congress Rejects Attempt to Impeach President Castillo
In December, Castillo survived an attempt by some opposition lawmakers to start impeachment proceedings against him. The economy has shrugged off the political volatility and last year grew at the fastest pace of any major nation in the Americas, according to estimates of economists surveyed by Bloomberg.
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