s led by Francisco Pizarro defeated and captured Inca Emperor Ata-wallpa. Francisco Pizarro demanded gold and silver in exchange for the release of the Sapa Inca, and although Francisco Pizarro received a room of gold and the two following rooms with silver, up to the level of the reach of Ata-wallpa's arm, Ata-wallpa was executed and Francisco Pizarro conquered the Empire and imposed Spanish rule. Ten years later, the Spanish Crown established the Viceroyalty of Peru, which included all of its South American colonies.[14] Viceroy Francisco de Toledo reorganized the country in the 1570s with silver mining as its main economic activity and Amerindian forced labor as its primary workforce.[15] Peruvian bullion provided revenue for the Spanish Crown and fueled a complex trade network that extended as far as Europe and the Philippines.[16] However, by the 18th century, declining silver production and economic diversification greatly diminished royal income.[17] In response, the Crown enacted the Bourbon Reforms, a series of edicts that increased taxes and partitioned the Viceroyalty of Peru.[18] The new laws provoked Túpac Amaru II's rebellion and other revolts, all of which were defeated.[19] In the early 19th century, while most of South America was swept by wars of independence, Peru remained a royalist stronghold. As the elite hesitated between emancipation and loyalty to the Spanish Monarchy, independence was achieved only after the military campaigns of José de San Martín and Simón Bolívar.[20] During the early years of the Republic, endemic struggles for power between military leaders caused political instability.[21] National identity was forged during this period, as Bolivarian projects for a Latin American Confederation foundered and a union with Bolivia proved ephemeral.[22] Between the 1840s and 1860s, Peru enjoyed a period of stability under the presidency of Ramón Castilla through increased state revenues from guano exports.[23] However, by the 1870s, these resources had been squandered, the country was heavily indebted, and political in-fighting was again on the rise.[24] Historic Centre of Arequipa, Peru's second largest city, founded in 1540, and a UNESCO World Heritage Site. Peru was defeated by Chile in the 1879–1883 War of the Pacific, losing the provinces of Arica and Tarapacá in the treaties of Ancón and Lima. During the Chilean occupation of Lima, Chilean military authorities turned the University of San Marcos and the recently inaugurated Palacio de la Exposición into barracks, raided medical schools and other educational institutions, plundered the contents of the Peruvian National Library and transported thousands of books (including many centuries-old original volumes) along with much capital stock to Santiago de Chile, and carried away a series of monuments and artwork that had adorned the city.[25] Internal struggles after the war were followed by a period of stability under the Civilista Party, which lasted until the onset of the authoritarian regime of Augusto B. Leguía.[26] The Great Depression caused the downfall of Leguía, renewed political turmoil, and the emergence of the American Popular Revolutionary Alliance (APRA).[27] The rivalry between this organization and a coalition of the elite and the military defined Peruvian politics for the following three decades.[28] In 1968, the Armed Forces, led by General Juan Velasco Alvarado, staged a coup against president Fernando Belaunde. The new regime undertook radical reforms aimed at fostering development but failed to gain widespread support.[29] In 1975, Velasco was forcefully replaced as president by General Francisco Morales Bermúdez, who paralyzed reforms and oversaw the reestablishment of democracy.[30] During the 1980s, Peru faced a considerable external debt, ever-growing inflation, a surge in drug trafficking, and massive political violence.[31] Some 70,000 people died during the conflict between state forces and Maoist Shining Path guerrillas.[32] Under the presidency of Alberto Fujimori (1990–2000), the country started to recover; however, accusations of authoritarianism, corruption, and human rights violations forced his resignation after the controversial 2000 elections.[33] Since the end of the Fujimori regime, Peru has tried to fight corruption while sustaining economic growth; since 2006 the president is Alan García.[34] [edit] Government Main articles: Government of Peru and Politics of Peru Historic Centre of Lima, a UNESCO World Heritage Site and center of power of the Peruvian government since 1535. Peru is a presidential representative democratic republic with a multi-party system. Under the current constitution, the President is the head of state and government; he or she is elected for five years and cannot seek immediate re-election, he or she must stand down for at least one full constitutional term before reelection.[35] The President designates the Prime Minister and, with his advice, the rest of the Council of Ministers.[36] There is a unicameral Congress with 120 members elected for a five-year term.[37] Bills may be proposed by either the executive or the legislative branch; they become law after being passed by Congress and promulgated by the President.[38] The judiciary is nominally independent,[39] though political intervention into judicial matters has been common throughout history and arguably continues today.[40] The Peruvian government is directly elected, and voting is compulsory for all citizens aged 18 to 70.[41] General elections held in 2006 ended in a second round victory for presidential candidate Alan García of the Peruvian Aprista Party (52.6% of valid votes) over Ollanta Humala of Union for Peru (47.4%).[42] Congress is currently composed of the Peruvian Aprista Party (36 seats), Peruvian Nationalist Party (23 seats), Union for Peru (19 seats), National Unity (15 seats), the Fujimorista Alliance for the Future (13 seats), the Parliamentary Alliance (9 seats) and the Democratic Special Parliamentary Group (5 seats).[43] The Peruvian government is closely allied with the Catholic Church. Article 50 of the Constitution recognizes the Catholic Church's role as "an important element in the historical, cultural, and moral development of the nation." [44] Catholic clergy and laypersons receive state remuneration in addition to the stipends paid to them by the Church. This applies to the country's 52 bishops, as well as to some priests whose ministries are located in towns and villages along the borders. In addition each diocese receives a monthly institutional subsidy from the Government. An agreement signed with the Vatican in 1980 grants the Catholic Church special status in Peru.[45] The Catholic Church receives preferential treatment in education, tax benefits, immigration of religious workers, and other areas, in accordance with the agreement. Peruvian foreign relations have been dominated by border conflicts with neighboring countries, most of which were settled during the 20th century.[46] There is still an ongoing dispute with Chile over maritime limits in the Pacific Ocean.[47] Peru is an active member of several regional blocs and one of the founders of the Andean Community of Nations. It is also a participant in international organizations such as the Organization of American States and the United Nations. The Peruvian military is composed of an army, a navy and an air force; its primary mission is to safeguard the independence, sovereignty and territorial integrity of the country.[48] The armed forces are subordinate to the Ministry of Defense and to the President as Commander-in-Chief. Conscription was abolished in 1999 and replaced by voluntary military service.[49] [edit] Regions Main article: Administrative divisions of Peru Ama zonas Ancash Apurímac Arequipa Ayacucho Caja marca Cusco Huánuco Huanca velica Ica Junín La Libertad Lamba yeque Lima Lima Province Callao Loreto Madre de Dios Moquegua Pasco Piura Puno Tacna Tumbes San Martín Ucayali info Clickable map of the regions of Peru. Peru is divided into 25 regions and the province of Lima. Each region has an elected government composed of a president and a council, which serves for a four-year term.[50] These governments plan regional development, execute public investment projects, promote economic activities, and manage public property.[51] The province of Lima is administered by a city council.[52] Regions: Amazonas Ancash Apurímac Arequipa Ayacucho Cajamarca Callao Cusco Huancavelica Huánuco Ica Junín La Libertad Lambayeque Lima Loreto Madre de Dios Moquegua Pasco Piura Puno San Martín Tacna Tumbes Ucayali Province: Lima [edit] Geography Main article: Geography of Peru Peru covers 1,285,216 km2 (496,225 sq mi). It borders Ecuador and Colombia to the north, Brazil to the east, Bolivia to the southeast, Chile to the south, and the Pacific Ocean to the west. The Andes mountains run parallel to the Pacific Ocean, dividing the country into three geographic regions. The costa (coast), to the west, is a narrow plain, largely arid except for valleys created by seasonal rivers. The sierra (highlands) is the region of the Andes; it includes the Altiplano plateau as well as the highest peak of the country, the 6,768 m (22,205 ft) Huascarán.[53] The third region is the selva (jungle), a wide expanse of flat terrain covered by the Amazon rainforest that extends east. Almost 60% of the country's area is located within this region,[54] (70,000,000 hectares / 172,973,767 acres or 700,000 km2/270,272 sq mi) giving Peru the fourth largest area of tropical forest in the world after Brazil, Congo and Indonesia.[55] Most Peruvian rivers originate in the peaks of the Andes and drain into one of three basins. Those that drain toward the Pacific Ocean are steep and short, flowing only intermittently. Tributaries of the Amazon River are longer, have a much larger flow, and are less steep once they exit the sierra. Rivers that drain into Lake Titicaca are generally short and have a large flow.[56] Peru's longest rivers are the Ucayali, the Marañón, the Putumayo, the Yavarí, the Huallaga, the Urubamba, the Mantaro, and the Amazon.[57] Left: Alpamayo mountain peak in the Huascarán National Park UNESCO World Heritage Site in central Peru's Ancash. Right: Manú National Park, a biosphere reserve in Cuzco and the Madre de Dios Region, here depicts a part of Peru's Amazon Rainforest. Peru, unlike other equatorial countries, does not have an exclusively tropical climate; the influence of the Andes and the Humboldt Current cause great climatic diversity within the country. The costa has moderate temperatures, low precipitations, and high humidity, except for its warmer, wetter northern reaches.[58] In the sierra, rain is frequent during summer, and temperature and humidity diminish with altitude up to the frozen peaks of the Andes.[59] The selva is characterized by heavy rainfall and high temperatures, except for its southernmost part, which has cold winters and seasonal rainfall.[60] Because of its varied geography and climate, Peru has a high biodiversity with 21,462 species of plants and animals reported as of 2003; 5,855 of them endemic.[61] The Peruvian government has established several protected areas for their preservation. [edit] Economy Main article: Economy of Peru Left: The seaport of Callao is the main outlet for Peruvian exports. Right: Buildings in the financial district of San Isidro, Lima. The economy of Peru is a market-oriented one and the 42nd largest in the world. The country has experienced significant economic growth in the last 15 years. Peru is considered an Emerging Market, according to the MSCI, due to political and macroeconomic stability, improved terms of trade, and rising investment and consumption.[62] The economy is diversified although commodity exports are still the most important. Trade and industries are centralized in Lima but agricultural exports have created development in all the regions. As of 2010, GDP per capita in ppp values is almost US$10,000.[3] Peru has a high Human Development Index score of 0.806, according to a 2008 report. The World Bank defines Peru as an 'Upper Middle Income Economy'[63] Peruvian economic policy has varied widely over the past decades. The 1968–1975 government of Juan Velasco Alvarado introduced radical reforms, which included agrarian reform, the expropriation of foreign companies, the introduction of an economic planning system, and the creation of a large state-owned sector. These measures failed to achieve their objectives of income redistribution and the end of economic dependence on developed nations.[64] Despite these adverse results, most reforms were not reversed until the 1990s, when the liberalizing government of Alberto Fujimori ended price controls, protectionism, restrictions on foreign direct investment, and most state ownership of companies.[65] Reforms have permitted sustained economic growth since 1993, except for a slump after the 1997 Asian financial crisis.[66] Services account for 53% of Peruvian gross domestic product, followed by manufacturing (22.3%), extractive industries (15%), and taxes (9.7%).[67] Recent economic growth has been fueled by macroeconomic stability, improved terms of trade, and rising investment and consumption.[68] Trade is expected to increase further after the implementation of a free trade agreement with the United States signed on April 12, 2006.[69] Historically, the country's economic performance has been tied to exports, which provide hard currency to finance imports and external debt payments.[70] Although exports have provided substantial revenue, self-sustained growth and a more egalitarian distribution of income have proven elusive.[71] Peru's main exports are copper, gold, zinc, textiles, and fish meal; its major trade partners are the United States, China, Brazil, and Chile.[72] [edit] Demographics Main articles: Demographics of Peru and Indigenous peoples in Peru Peruvian Olympic delegation, wearing traditional coastal garment, depicts the nation's multicultural society. With about 29.5 million inhabitants, Peru is the fourth most populous country in South America.[73] Its demographic growth rate declined from 2.6% to 1.6% between 1950 and 2000; population is expected to reach approximately 42 million in 2050.[74] As of 2007, 75.9% lived in urban areas and 24.1% in rural areas.[75] Major cities include Lima, home to over 8 million people, Arequipa, Trujillo, Chiclayo, Piura, Iquitos, Cusco, Chimbote, and Huancayo, all of which reported more than 250,000 inhabitants in the 2007 census.[76] In the Amazonian region, there are 16 ethno-linguistic families and more than 65 different ethnic groups.[77] After Brazil and New Guinea, Peru has the largest number of uncontacted tribes in the world.[78] Left: Famous mestizo writer and historian Inca Garcilaso de la Vega, popularly known as the "First biological and spiritual mestizo of America." Center-Left: Urarina Shaman from the Peruvian Amazon Rainforest. Center-Right: Andean man from Pisac in traditional dress. Right: Saint Martín of Porres, the first black saint of the Americas and patron of universal peace. Peru is a multiethnic country formed by the combination of different groups over five centuries. Amerindians inhabited Peruvian territory for several millennia before Spanish Conquest in the 16th century; their population decreased from an estimated 9 million in the 1520s to around 600,000 in 1620. The cause of most of the population decrease was directly due to infectious diseases, which was aggravated by various factors, chief among them being the indigenous population's lack of natural immunity as well as the repercussions of colonialism.[79] The laws made to protect the indigenous people are not always respected by the Peruvian government or the companies, such as Perenco, Repsol YPF, and Petrobras,[80] who seek to explore the natural resources of their land.[81] In 1994, Peru signed and ratified the current international law concerning indigenous peoples, the Indigenous and Tribal Peoples Convention, 1989.[82] Spaniards and Africans arrived in large numbers under colonial rule, mixing widely with each other and with indigenous peoples. After independence, there has been a gradual European immigration from England, France, Germany, Italy, and Spain.[83] Chinese arrived in the 1850s as a replacement for slave workers and have since become a major influence in Peruvian society.[84] Other immigrant groups include Arabs and Japanese. Given Peru's high rate of ethnic intermixing, the country's racial structure can be loosely classified as 31%[85][86]-45% Amerindian, 37% Mestizo (mixed Amerindian and European), 15% European, and 3% African, Japanese, Chinese, and others.[1] Spanish, the first language of 83.9% of Peruvians aged five and older in 2007, is the primary language of the country. It coexists with several indigenous languages, the most important of which is Quechua, spoken by 13.2% of the population. Other native and foreign languages were spoken at that time by 2.7% and 0.1% of Peruvians, respectively.[87] In the 2007 census, 81.3% of the population over 12 years old described themselves as Catholic, 12.5% as Evangelical, 3.3% as of other denominations, and 2.9% as non-religious.[88] Although the Constitution states that there is freedom of religion, the law mandates that all schools, public and private, impart religious education as part of the curriculum throughout the education process (primary and secondary).[89] Catholicism is the only religion taught in public schools. In addition, Catholic religious symbols are found in all government buildings and public places. [edit] Education and Health Literacy was estimated at 92.9% in 2007; this rate is lower in rural areas (80.3%) than in urban areas (96.3%).[90] Primary and secondary education are compulsory and free in public schools.[91] Schools in rural areas are associated with less average knowledge of pupils.[92] There is a correlation of malnutrition and low achievement at school.[92] Income shows a positive correlation with education.[92] In health care, discrimination against indigenous peoples exists.[93] Peru has one of the highest maternal death rates of the Americas.[93] In the 1996-2006 period, infant mortality was at 21 per 1,000 births.[94] [edit] Culture Main article: Culture of Peru Anonymous Cuzco School painting, 18th century Peruvian culture is primarily rooted in Amerindian and Spanish traditions,[95] though it has also been influenced by various African, Asian, and European ethnic groups. Peruvian artistic traditions date back to the elaborate pottery, textiles, jewelry, and sculpture of Pre-Inca cultures. The Incas maintained these crafts and made architectural achievements including the construction of Machu Picchu. Baroque dominated colonial art, though modified by native traditions.[96] During this period, most art focused on religious subjects; the numerous churches of the era and the paintings of the Cuzco School are representative.[97] Arts stagnated after independence until the emergence of Indigenismo in the early 20th century.[98] Since the 1950s, Peruvian art has been eclectic and shaped by both foreign and local art currents.[99] Peruvian literature has its roots in the oral traditions of pre-Columbian civilizations. Spaniards introduced writing in the 16th century; colonial literary expression included chronicles and religious literature. After independence, Costumbrism and Romanticism became the most common literary genres, as exemplified in the works of Ricardo Palma.[100] In the early 20th century, the Indigenismo movement produced such writers as Ciro Alegría,[101] José María Arguedas,[102] and