Peru’s Castillo Weighs a New Finance Chief in Cabinet Overhaul

(Bloomberg) -- Advisers to Peru's President Pedro Castillo are looking for names to replace Finance Minister Pedro Francke as part of a wider cabinet reform being considered by the leftist leader, according to three people familiar with the matter.

The finance chief job was offered to at least two candidates over the past few weeks, the people said, declining to disclose names and asking for anonymity as the discussions aren't public. One of them said people close to the president don't trust Francke.

Contacted by Bloomberg News, Francke said he has Castillo's support. 

“I met with the the president three times this week and we've been working as usual,” he said. “We've approved a package of decrees, we've been working normally and with full trust.” 

A spokesperson to Castillo didn't immediately respond to a request for comment. 

Francke, a former World Bank economist who was appointed as finance minister a few days after the president was sworn in, has helped to calm investors who worried about the future of Peru's economic policies under Castillo. He's been trying to increase key mining taxes, as well as levies on stock market profits and wealthy Peruvians but has failed to obtain full congressional approval to do so.

Leaders of Castillo's Peru Libre party have been putting pressure on the president to make changes to his cabinet and make it more representative of Peruvian society. When asked about a possible cabinet reshuffle, Prime Minister Mirtha Vasquez has said that it hasn't been ruled out.

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