RESTRICTED  
  
S/C/W/4 49 
 
20 June 2023  
(23-4238) Page: 1/2 
Council for Trade in Services  Original: Spanish  
 
 
COMMUNICATION FROM PERU  
REVIEW OF ARTICLE II (MFN) EXEMPTIONS  
Written replies from Peru to questions from the Republic of Korea and Switzerland ( S/C/W/431 ) 
The following communication from the delegation of Peru, dated 19 June 2023, is being circulated 
to the Members of the Council for Trade  in Services.  
 
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QUESTION 22 FROM THE REPUBLIC OF KOREA ( S/C/W/431 , PAGE 4)  
Regarding the MFN exemption measure, "Nationals of a country that has a reciprocal labour 
agreement or an agreement on dual nationality or foreign personnel recruited under bilateral or 
multilateral agreements concluded by the Government of Peru are not subject to the limitations on 
recruitment of foreign wo rkers, which establish a maximum period of three years and maximum 
percentage of 20 per cent of the total number of employees or 30 per cent of the total payroll.", 
please confirm if the exemption measure pertains to measures affecting natural persons seek ing 
access to the employment market, which are carved out by paragraph 2 of Annex on Movement of 
Natural Persons Supplying Services under the Agreement, irrespective of the period of stay.  
 
Reply:  
The measure is applicable to professionals who have permane nt or temporary work contracts, but 
who have a relationship of dependence and have been entered on the payroll as employee s of a 
company in Peru.  
 
For example, in the case of the category of contractual service provider, the worker is not dependent 
on the company in Peru because their work contract is with the company in the country of origin. 
However, in the case of a professional transferred betwee n corporations whose contract is with the 
company in Peru and who is on the workers' payroll, they should indeed be included in the 20% 
indicated in the measure.  
 
QUESTION 111 FROM THE REPUBLIC OF KOREA ( S/C/W/431 , PAGE 13)  
Regarding the reciprocity -based MFN exemption measure, "Peru reserves the right not to apply the 
most-favoured -nation clause to countries which do not apply it automatically and  unconditionally to 
Peru, as provided for in Article II of the GATS.", we wonder whether this exemption is based on any 
international agreements.  
 
Reply:  
The reservation is reciprocity based. It is not based  on any specific agreement. However, up until 
now it has not been used.  
 S/C/W/449  
 
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  QUESTION 112 FROM THE REPUBLIC OF KOREA ( S/C/W/431 , PAGE 14)  
Regarding the MFN exemption measure, "With respect to nation al treatment for foreign investment, 
exceptionally, for reasons of national or public interest, if a Member adopts protectionist or 
discriminatory measures, Peru reserves the right to do likewise.", we wonder whether this exemption 
is based on any internat ional agreements and also whether the conditions which created the need 
for this exemption still prevail and if so, please specify them.  
 
Reply:  
The reservation is reciprocity based. It is not based  on any specific agreement. However, up until 
now it has not been used.  
 
QUESTION 113 FROM SWITZERLAND ( S/C/W/431 , PAGE 14)  
Peru has inscribed tw o broad MFN exemptions for financial services. On the first, could you indicate 
whether Peru has denied a license to a financial services supplier owing to the fact that the country 
of its origin does not grant access to Peruvian financial services supplie rs on an MFN basis?  
 
Reply:  
No, the reservation has not been used. A license has not been denied on the basis of this exemption.  
 
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