Peru has among other smaller sectors rich deposits of natural resources, huge agricultural potential, good fishing grounds, a traditional textile industry and enormous tourism capacities.
It is internationally classifies as a mega-diverse country.
After the war the government started to initiate a number of economic reforms.
Just when Peru slowly recovered falling export prices and the Great Depression in the 1930s set the country back once again.
After the War the Pacific Peru's economy hit rock bottom.
The exploitation and export of guano on the island off the coast of Lima and Callao brought some wealth in form of foreign country into the country.
Already the Incas used the countries given conditions and used them as best as possible.
Steep slopes in the Andes were transformed into terraces which could be cultivated.
From the late 1940s Peru was governed by military juntas.
After 30 years of economic mismanagement Peru lay in ruins.