Marxist neurosurgeon and hawk prosecutor advise Pedro Castillo in Peru

A former World Bank economist who believes in fiscal prudence and a Cuban-trained Marxist neurosurgeon are among those vying for influence over Pedro Castillo, the frontrunner to become Peru’s next president.

Castillo, 51, a former schoolteacher from the Peruvian highlands, has no experience in national politics, so his advisers are likely to have great influence in governing a country of 32 million people.

With 98% of the votes counted, Castillo leads with 50.2% of the preferences, against 49.8% of his rival Keiko Fujimori. The victory has already been awarded, although this has not been confirmed by the electoral authority.

If he retains the advantage, he will take command on July 28.

The country’s stocks, bonds and currency have fluctuated sharply this week as investors try to gauge how radical Castillo will be if he becomes president next month. It may depend on which of your advisors wins.

Veronique mendoza

Mendoza, 40, is a former Franco-Peruvian MP whose proposals to tax the rich make her a natural ally of Castillo. Several of the people who now advise the candidate, including her main economic advisor, previously worked with her.

After being sixth in the first round of the presidential election, he supported Castillo, and entrusted him with a team of professionals to work out a plan of government, while in return he signed a pledge to respect democratic institutions and international rights agreements.

If Castillo wins a narrow victory, which seems likely, Mendoza’s support may have been decisive, helping to broaden his appeal beyond his Marxist political party and rural base.

“There has been a slow process of transition, where Verónika Mendoza’s economic team has gained prominence around the candidate,” said Giovanna Peñaflor, founder of Imasen, a political studies company based in Lima. This should tend to moderate Castillo’s schedule, Peñaflor said.

James Bosworth, founder of Hxagon, a political risk analysis firm that covers emerging markets, said Mendoza is absolutely essential in getting something through Congress.

It’s not about your party’s votes, but your personal knowledge of how Congress works and the coalitions needed to get things through, he said.

Pedro Francké

Since his chief economic adviser was appointed last week, former World Bank economist Pedro Francke has tried to convince Peruvian voters and investors that Castillo is not a dangerous radical. He was part of the Mendoza squad in the first round.

Francke, 60, called for fiscal prudence and inflation targets and opposes the nationalization of companies.

This is all music to investors’ ears, but there are also powerful voices trying to steer Castillo in a much more radical direction.

Vladimir cerron

Cerrón, 50, is a radical Marxist and neurosurgeon who lived for years in Cuba, where he studied medicine. As the founder and leader of the Peru Libre de Castillo party, he controls the largest movement in Congress, which would guarantee him great influence in a Castillo government.

He is the owner of the party and who placed Peru Libre members in Congress, said Rodolfo Rojas, partner of the Lima-based Sequoia political advisory group. If Castillo fights with Cerrón, he could end up without members in Congress, he added.

Castillo seems to have seen the need for a moderate path, but Cerrón’s power and influence will tend to take him in a more radical direction, Rojas said. Castillo has tried to distance himself from Cerrón in an attempt to win moderate voters, but he needs their support in the legislature to stay in power.

Cerrón’s party has 37 members out of 130 Congress seats, while Mendoza has 5. Castillo will need your support to avoid the fate of President Martín Vizcarra, who was dismissed from his post last year. Yet he will not have enough voice to pass laws without making alliances.

Hernando Cevallos

Like Cerrón, Cevallos is both a doctor and a politician and advises Castillo on health matters. Peru has experienced one of the highest per capita death rates during the pandemic, and accelerating the vaccination campaign is urgently needed. Castillo has promised a massive increase in healthcare spending if he wins. As a member of Congress in the period 2016-2019, Cevallos promoted the medicinal use of cannabis and the improvement of the conditions of health workers.