 to the 8th World Economic Forum on Latin America. I thank President Ayantomala for his very kind invitation to hold this gathering here. I thank the First Lady and the Government of Peru and all of our friends here in Peru. Thank you very much for your support and for welcoming us so warmly. I thank you most sincerely. And we'd also like to thank the President of Mexico, Enrique Peña Nieto, and the President of Panama, Ricardo Martinelli, for being with us on this occasion. Baroness Valerie Amos of UN Ocha, Mr. Jaume Strayer of GDF Suez, Mr. Michel Liés of Swiss Ray, Carlos Rodriguez Pastor of Intercorp Peru, Arne Sorensen of Marriott International. Many thanks to you too. The theme of our meeting, the Living Growth and Strengthening Societies, offers an opportunity to reflect, discuss, and take action at a time when most Latin American nations have been experiencing satisfactory levels of economic growth. For it is timely to invest in human capital and implement innovative and visionary policies to turn growth into long-term development with social prosperity and environmental sustainability. It is clear that economic progress without social development is not sustainable, while development without economic growth is enviable. The forum is very much aware on the region's vulnerabilities, risks, and challenges that still remain. And we are driven by the principles of entrepreneurship in the global interest. Thus, the World Economic Forum wishes to become a trusted partner serving as a catalyst and as an integrator to support efforts in promoting public-private cooperation to advance in achieving the region's full potential. I am certain that the meeting in Lima will be an important milestone towards that end. It is now my pleasure to introduce the president of Peru, His Excellency, Mr. Oyanta Umala. Por favor, señor presidente. Mr. President, the floor is yours. Luis Enrique Peña Nieto, president of the Sister Republic of Mexico. His honor, Ricardo Alberto Martinelli, Barrocal president of the Re-Sister Republic of Panama. Mr. Klaus Schwab, founder and executive chairman of the World Economic Forum. Juan Jimenez Mayor, president of the Council of Ministers of Peru, Congresswoman Marisol Micella, and Mr. Castillo Rubio, minister of economics and finance. Mr. Rafael Roncoyolo, foreign minister of Peru, ministers of state, ladies and gentlemen. I am pleased to welcome you to Peru, the host nation of this eighth world economic forum for Latin America. It is the first time that our country has served as the seat of one of the regional gatherings of the World Economic Forum that is the most prestigious around the globe. For us, it is a clear demonstration of the greater recognition that our economy and our culture are acquiring day by day. As host of this important international gathering, let me take advantage of the opportunity to discuss with you briefly the proven experience and what we expect for the future. Peru, as most of the countries in Latin America, has experienced the different influences of development from across the world. And thus, from a very public area of participation in the 1970s for the state, we've moved to the other extreme, reducing the state to its minimum expression. Today, what we are foraging is a more balanced approach. We have learned from both experiences. Today, we are working so that our country can find itself. We all understand the importance of a good and healthy economy for the success of our other public policies. However, today, we also need to understand that to secure development, we need to grow economically and to be able to distribute that growth, what we call social inclusion, growing to include and including to grow. In recent years, Peru has been able to sustain fast-paced sound economic growth, and has been highlighted around the world, both as a result of the speed of its growth and its response to the recent worldwide economic crisis. Thus, our GDP in Peru has tripled in the most recent decade. And our growth in the last decade was over 6%. Moreover, we have sustained one of the inflation rate that has been the lowest, one of the lowest among the region. And we have improved our level of competitiveness in the primary international rankings. In this period, we have also seen the takeoff of our tourism, our agro-industry, and our gastronomy, which have been better positioned in worldwide economies among other types and other areas of non-traditional economies. As an example, we can point to Peru as the leading exporter of oil and fish meal, paprika, organic coffee, organic bananas among other products. This dynamic economic growth has gone hand in hand with an important reduction in our levels of poverty and of inequality of chronic child nutrition and other indicators of human development, including neonatal maternal deaths. This has enabled us to reach our Millennium Development goals prior to our deadline. Specifically, we received in 2011 we had a malnutrition rate of almost 24%. The MD gene to 2015 was 22%. However, today we have gone beyond that original goal, and we will continue to move forward with increasing commitment. Also in the last eight years, Peru has been able to move over 7.5 million Peruvians out of poverty, which accounts for approximately one fourth of our current population. And this significant progress in economic and social areas have been possible thanks to the sustained and complementary implementation of responsible public policies in the fiscal environment, openness to international markets, the attraction of foreign investment and an expansion in social inclusion policies. In this regard, we have sought to consolidate our country as a country that provides legal predictability in which our word is respected and that we comply with our commitment. That is to say, we are predictable. That is that everyone from the poorest families to our major corporations will know what will happen in Peru so that they can plan their future. Macroeconomic stability through a responsible leadership in our economy, that means trust and confidence. The solid nature of our macroeconomic accounts fostered by our economic discipline, as well as our fiscal and monetary discipline, as well as the equal treatment of foreign investments in Peru have led to high levels of investments by the primary international risk classification firms. And the acknowledgement of our economy is as the second lowest sovereign risk in the region. In addition, Peru has preferential trade agreements with 30 of the 34 members of the OECD, with China, with countries in Southeast Asia and the Latin American region, which accounts for over 80% of worldwide GDP. The acknowledgement of this important progress has made it possible for us to have a greater presence in the worldwide discussion on the international agenda, as we can see in the recent appointment of our country as the seat and host of this important international forum, as we have also seen joint annual meetings that are scheduled here for 2015 of the World Bank and the International Monetary Fund, as well as the meeting in 2013 this year of the United Nations Office for Industrial Development, sessions of ECLAG for 2014, and for the second time in 2016, a meeting of APEC leaders. We will continue to work on the challenges that we have before us as a society, on our institutions, public management, land management, human resources, and natural resources management, science and technology, social inclusion, distribution of income, among others. Moreover, we are cognizant of the risks that are present in the difficult international environment and of the need to ensure sustainable growth over the long term. In that regard, my administration seeks to create solid institutions that are transparent and reliable that will enable us to manage our available resources better in order to foster and facilitate greater productivity among our companies and ensure greater capacity of the state in supplying services that improve the quality of life of our citizens with a particular emphasis on those who are most vulnerable. To that extent, my administration is committed to a proactive public policy of development and social investment. We have increased our budget by 15% for projects that seek to close the gap between basic services in urban and rural areas, in the areas of water, sewerage, and energy. Today, we have a level of investment that it is above that of the rest of the region in infrastructure, and we are aware of the need to nonetheless secure greater effectiveness in the use of these resources. We are using an objective and performance-based system of budgeting on the different levels of our government. We have created an expanded set of programs that are multi-sectoral in nature with a view toward improving efficiency and targeting care and attention on the most vulnerable sectors. Our policies of social inclusion are focused on these individuals, from early childhood until our senior citizens. We seek an improvement in the levels of well-being and also to break down the intergenerational transmission of poverty. In that sense, in regard, we have created a Ministry of Development and Social Inclusion, known as MEDIS, within our administration, which helps to dovetail the policies in development and social inclusion and focuses on second-generation projects, including the sustainment of our efforts and the effective overcoming of poverty. As I noted, we start with early childhood, with a program known as Kona Mas and the school-age food program known as Kuali Worma. We also have a program known as Beka Nisyotion to facilitate higher education by qualified young people. These new programs started from scratch and we now have over 10,000 people participating. And by 2016, we hope to grant over 25,000 comprehensive scholarships of this nature. Also, we have projects for those who are over age 65 who are at the age to retire and in poverty. We have a new program for them, which is called Pension 65. Our social investment is fundamentally focused on including the most needy population in a circuit of economic growth and creation of wealth, decent employment through the modernization diversification of our production chain. In that regard, we are placing an accent on the training of human resources, particularly in science, technology and innovation. Thus, in addition to our program, Beka Nisyotion, we are encouraging the creation of projects and scholarships for postgraduate studies at the international level so that we can contribute to more advanced human capital. In the task of providing sustainability to our growth, we are convinced and we continue to work to diversify our economy through science, technology, innovation and policies of scientific transfer. In that regard, we are working, as I said, in science and technology and facilitating the return of Peruvian experts who currently reside abroad. We seek to create a nation of intellectual capabilities and not just natural resources through these policies. We are also committed to protecting the environment under the concept and umbrella of shared but differentiated responsibilities to ensure the country for future generations. We have ratified a variety of different international treaties in the area of the environment since we are a highly diverse and also highly vulnerable to climate change as a nation. And we have put a high priority on policies for mitigation and adaptation to climate change and the conservation and sustainable use of our Amazon forest and the protection of biodiversity. The transfer of technologies that will enable us to mitigate the effects of climate change will help us to contribute to sustainable development and will strengthen these important efforts. And it is therefore an aspect that requires and demands renewed commitment and prioritization. In addition to economic growth with social inclusion, let me highlight that it is a priority for my government to secure sustainable development and the responsible use of our natural resources, particularly our water resources with protect for the environment and respect for our communities, particularly with regard to extractive industries. To that extent, we are working on the construction of a new relationship between the state and industry that will enable us to address the uncertainties and legitimate concerns that the population residing in these areas may have and to resolve in a transparent fashion all conflicts through a policy of dialogue. Moreover, let me note the renewed commitment of our country to respect for human rights and for the protection of our people. We have said that we will combat terrorism and drug trafficking wherever it may lie, and we have allocated resources to ensure the security of our people. As I commenced by welcoming you, let me to conclude also reiterate that welcome to the very warm people of Peru who welcome you and we thank you for your economic efforts that are placed both in Peru and are noteworthy across the globe and that will enable the people and the government of Peru to move into the generation of wealth and of better conditions, hopefully for all Peruvians and not for a minority. Thank you very much and welcome to this forum. Mr. President, and also in the name of everybody here in the hall, we would like to thank you for your great hospitality. We started yesterday evening with a fantastic event, but even more important, I think we should congratulate you as you have outlined for this very comprehensive and very inclusive policies you have enacted over the last years, and you are able to show us quite impressive results. So congratulations. I have to tell you we are very fortunate here because we have a panel with the presidents of three countries which really stand out in terms of reform efforts, in terms of what I would say, building the new Latin America, a Latin America which realizes all the hopes people are talking since so many years about. And now I think it's time to get it into action. And you, Mr. President, you have impressed the world with your start as a young, very dynamic president of one of the very important countries, Mexico, important not only in the Latin American context, but important as a G20 country and actually last year as a host on a geopolitical scene. So, Mr. President, can I invite you to share with us your ideas and hear particularly how you see your country in the context of the world, second, your reform policies particularly related to inclusion, and finally also how do you ensure long-term true stability in your country because this is still a very open question in terms of drug trafficking, crime and so on. But we want to start with the positive developments lately under your presidency. Thank you very much, Mr. Schwab. So allow me to share with you a few ideas on the matters that Mr. Schwab has mentioned. But before that, I would like to thank the president, Ojanta Umala, for his hospitality and also for the warm welcome that he has given not only to myself but also the delegation that has come with me, that is composed by officers of the government of the Republic that are closely linked to the subject matters that are related to Mexico economic development. Respectfully, I would also like to greet his wife, Mrs. Nadine, as well as President Ricardo Martinelli, with whom again I share a space in an event like this one. And also I would like to say how pleased that I am to see here so many entrepreneurs and authorities from Latin America. Without any doubt, this is a good time, a good moment for the whole region of Latin America and the Caribbean. I agree with what President Ojanta has just said. It is necessary to realize that Latin America is going through a good period. Several countries in this region are characterized at the moment by macroeconomic stability as well as economic growth and most certainly a policy that is targeted to combating the great social inequalities that to a great extent have been one of the trademarks of this region in the world for a long time. And we must say that Latin America has a lot of positive aspects and strong points and therefore we should not focus on these strong points and forget that it is necessary to achieve the development in this region that will not be achieved by inertia. This region is different from others that have gone through financial crisis and economic troubles and our region in general terms has been able to go to succeed during these difficult periods. But I believe that this is the right time to once again encourage all the actions and policies that will allow us to strengthen the capabilities of Latin American countries. Let me mention two countries. One are host country Peru and secondly Panama with whom I am sharing this panel. Both countries without any doubt have been the champions of economic growth in the region during these last years. During these last decade they have achieved consistent growth and the President of Panama will certainly explain some of the successes and results they have achieved. Mexico does not want to lag behind. It is a country that has great potential and a geographical location that is very relevant to a region. We are proud to be Latin Americans and at the same time we are neighbors with North American countries. Our country during these last years has supported its growth with different policies for example free market and also openness to the rest of the world and that is why Mexico at the moment needs to find greater diversification for its production. But in order to achieve these results Mexico has to make significant efforts to increase productivity and in a few words this is really to democratize productivity and not to achieve it in just a few areas and this means that in every region even the most far away places of our country it is necessary to have and to offer possibilities of growth and development to our people and that this is translated in well-being for our inhabitants. Mexico wants it for itself and we also believe that this should be one of the great challenges and opportunities that Latin America and the Caribbean should have as a target. It is necessary to encourage democratization of productivity as I said and this will certainly allow us to achieve in the coming years a sustainable economic growth that is also sustained and permanent and this I believe is our objective. In my country I took office five months ago and let me tell you that in the first place in our government we have established very clear goals for the coming years. Our objective is in the first place to achieve peace and tone quality in Mexico and the strategy that the government of the republic in coordination with the other governmental bodies has established is to significantly reduce the levels of violence that we see in some regions in our country. Secondly, we want to implement social public policies that will allow us to have inclusive Mexico and at the same time a company this period permeates most of the Latin America and the Caribbean region which is combat to poverty and social inequality. The new social policies which are the ones that we are implementing in Mexico at the moment will be not only poverty that will mitigate some of the effects of poverty but we want policies that will ensure that the beneficiaries of these policies and social programs, some of them new and some of them long-standing will enter the stream of productive life and also of formal productive activities. That is why in Mexico we are reviewing social programs and we don't want to encourage informal activities on the contrary. We want that the people who are supported by our policies have enough incentives so that they insert their activities in the formal sector. We also have the objective of achieving good quality education for all during these last decades. Mexico, especially during the 20th century after the post-revolution period, managed to significantly decrease illiteracy rates although we acknowledge that there is still a significant number of Mexicans that have not achieved this level of education yet but in the past 70% of the population was living in illiteracy and now we have achieved basic education coverage from primary school to secondary school and we are covering about 95% of the population at the moment. So the challenge now is to achieve high quality education and that's why recently in Mexico we approved a constitutional amendment that targets education and whose main purpose is to make sure that education in Mexico in the coming years achieves a higher quality and will lead to capacity building of our human resources in order to achieve progressive growth in the country and a fourth fundamental objective that you entrepreneurs will understand because you are fundamental for this region and for our country it is necessary to achieve sustainable economic growth at a regular pace. The vision of our government is that the most important mechanism to combat poverty is to ensure economic growth. That is why in Mexico we now have an agenda for structural reforms that will lead to this higher growth in the coming years. We are now implementing a reform to the telecommunications system or telecommunications in general in order to encourage greater competition in the sector and also greater coverage of telecommunications for telephone services, TV services and also internet. We want them to become mechanisms in order to support capacity building of our people but also that will allow them to have various options options that compete amongst themselves in price and quality. This agenda for structural reforms that we have established and that Mr. Schwab was asking me about also comprises financial reform that we will submit in the near future in order to encourage commercial banks and also development agencies so that credit is increased in our country. And let me tell you that in Mexico we have a sound financial system a financial system that is economically stable while in the past this was not the case in other countries. However, the level of credit in Mexico is still low whereas in other countries in the region this is not the case. That is why the financial reform that we will endeavor shortly has the purpose of encouraging commercial and development banks so that there are new mechanisms that will guarantee higher levels of credit in the country. In Mexico, credit is mostly concentrated in big enterprises but what we want is to focus on small and medium enterprises which are the ones that employ the highest number of people in the country and unfortunately are the ones that benefit less from credits and loans in the country. We also need a reform of the energy sector in order to strengthen the productive capacity in this sector especially in trying to strengthen Pemex which is the state energy enterprise. We need therefore a legal mechanism that will allow the participation of the private sector so that Pemex can increase its productive capacity and at the same time we need to explore other ways of producing energy. The goal in this case will be to decrease the cost of energy in the country and that energy benefits the population at large so that prices are much more affordable for the energy consumed but also so that the industries have an input that will allow them to be more competitive at a world level and another reform that we will endeavor is a tax reform that will establish a more fair and balanced system and therefore we want to enlarge the tax base and increase tax collection so that the state will have more capabilities to produce policies that will benefit everyone in the country. A fifth objective for my government is that Mexico undertakes accountability and commitment at a world level that is to say that Mexico embraces the big causes or the big teams of mankind and finally what has made possible for Mexico to progress in structural changes and transformations with a new labour law with a new educational legal framework and laws in other fields is the agreement that has been made between the government of the Republic and the various political forces of our country in order to reach common grounds and objectives and to enrich this change and transformation agenda on the basis of our shared goal that Mexico has the capacity of benefitting from its strong points and its potential in order to achieve higher growth higher development and more benefits for all Mexicans. Of course when we live in democratic life in our country democratic and plural as Mexico is at the moment it is natural that we have difference of opinions from time to time but politics is the best way to bring doors to dialogue and agreement in order to overcome differences of opinions I am very optimistic and very enthusiastic and I'm certain that Mexico on the basis of these changes and new political maturity is going to have a better future and we will be able to follow this new spirit that pervades the Latin American and Caribbean region at the moment so that our regions are more productive more competitive they achieve higher growth and development and at the same time various mechanisms that I have already mentioned are taken advantage of so that our region achieves better living conditions for its people and greater participation in the world at large. Thank you very much once again for this invitation. Thank you President Pena Nieto what you explained is not just one reform in principle it's a complete societal and institutional reform to prepare a country for the future so we wish you all the best and I'm personally looking forward to seeing you back in Davos to tell us more about the success now someone who can tell us about the success is President Martinelli you have enacted reforms since quite some time since you came into power can you tell us what you learned from this process and what your main conclusions and lessons are Thank you very much Thank you Thank you Mr. President President Pena Nieto Professor Schwab your distinguished wife business community members friends all first of all I think it is important that the audience understands that Latin America is no longer a mere spectator we are now players Latin America there's been economists who have spoken about a lost decade as a result of the many mistakes that we Latin Americans have made and part of those mistakes are ones that we have made we have made them as politicians and the business community has made them and I say it's the business community because the business community is hesitant to be involved in politics if I can share with you an experience or a lesson it is that I would ask the business class of Latin America to participate in politics to open up to the position of election or accept to be selected or chosen for a position because it is not just a matter of making a simple donation or sending an executive or a family member to be involved in the activities of the state it is not the same as participating actively in the transformation of our countries I have always criticized what I've seen until someone said to me who was a cabinet member and said you know you're so critical so arch-critical why don't you get involved and why don't you start changing the system and it took me some time and I had to cogitate on thinking about leaving my companies and entering an unknown world and I must admit I still don't understand this world and I'm about to get out of it but in any case it is important to understand that I on my first term I ran on my first platform as I said I was an ambulance chaser that's what we call these types of people in Panama but in any case I then ran again in the second and my promise was to change Panama because Panama is a small huge country and I would say that today it is a country under construction and who knows many of the things that we've done in Panama and many of the problems that we face are common they're shared across Latin America and perhaps what people want is to see countries change but they want you to change and I don't change everyone wants there to be a broad tax policy but a lot of people who don't want to pay taxes and so on and so forth throughout our societies but the fundamental aspect here is that Panama has made a substantive transformation because I believe that we have learned the lessons that were made by prior administrations we've learned what could be done with the capabilities and the capacity that Panama has as a starting point we have today one of the highest rates of growth in the world we have a country with zero unemployment a country that has legalized all of our illegal aliens and we are in fact encouraging immigration into Panama to provide for a greater broader base of our labour force Panama was a country that was pretty much stigmatized secluded we were considered to be a tax haven in Panama we had no tax treaties or treaties or trade agreement or anything else to exchange information even with the United States we do have a treaty in place today and with Europe today once again the good news is that we will be signing that free trade agreement very soon with Mexico and also with Peru which will give us a tremendous opportunity Panama to access as a country the Pacific Alliance we've signed tax treaties with over a dozen countries as I was mentioning and we continue to negotiate new accords we have in place an agreement with the US, with Europe and we'll be signing with other major players shortly as well but the important thing here what I can say from this electoral processes I've been through is that sometimes government does things poorly because we believe that just by giving incentives to the private sector for the what they would invest and that that will be enough and we fail to see that other benefits or other prerogatives need to be granted in addition to tax benefits this is what existed across Latin America and we've decided to revert that process and have the state invest first and that the private sector should come in second to do that however we had to reformally completely our budget and I can say that every dollar of our budget 40 cents is invested in infrastructure and that is how the state has become an aggressive program of infrastructure development airport will soon have the largest airport in Latin America by 2014 we are building highways across the breadth and length of our country and I mean we have the other ends obviously we have Costa Rica right next door we're also building hospitals chilling centers residences residential complexes and so forth and we've heard from the other two presidents who have spoken before me the importance of these projects we share these types of projects we give them different names we have a program that is the senior citizens who don't have a pension out of money we have a program such as they have in Mexico or in Brazil for students to go to school as long as their parents take them into the regular medical checkups we have a program that we've copied from Peru which is called the guardian angel which is that pays parents to take care of their disabled children and so forth and as President Tomalana was saying earlier this universal scholarship we also provide a scholarship to all Panamanian children so that they attend school and so that they can have the understanding and the culture of having income and that incomes are based on the fact that we've been able to move forward in their education and gotten to the next level we're also working along the same lines of what former President Lula did in Brazil increased presence of the bank so called bankerization in Panama and we also have perhaps the most important infrastructure project of all perhaps worldwide which will change the physiology of all of our ports and will cause a change in the way boats circulate and ships travel and will have an impact across the globe recently I was in Hamburg and there was a debate in place they didn't want to dredge the port because the post-Panamax size ships need to have 50 feet below the hull and most ports need to be dredged Bremen had been dredged Hamburg did not want to create that greater depth and so I had to go and to convince all the port agents and port officials and I had an opportunity to speak to the German Foreign Minister to get them to understand the responsibility that is inherent in not dredging a port because we know that there's some ports around the world for environmental reasons but nonetheless we are investing in the expansion of ports across the globe and and they were seeing these investments as well as the investment that we're making in expanding the canal to be able to handle those post-Panamax size ships when you come into office you come into office based on the promises you make to your people and your constituents you say to them that they will have a better quality of life and you are seeking the ballots the votes of all of those who will take you to power and I believe that we as Latin American presidents and I have to speak frankly here I believe that we today as presidents have gotten on board we are committed to being players to being players and not spectators and that means that you as a business community have to take forward this effort expansion and modernization I am very pleased to see Mexican-Brazilian companies that today are merging or have been acquired with European companies and many different types and fields of manufacturing and I see companies from all over the globe Costa Rican companies that are selling coffee in China I have seen small and mid-sized Peruvian companies in the Japanese market that is we Latin Americans have a very important role to play on the global stage and you in the business community have to supplement this and help us to ensure that we have a participatory democracy where the other presidents have said where basic rights are respected where human rights are respected where the rights of all of the people of a country are respected because a country is not made by a government or an administration you cannot blame a government or administration for everything that goes wrong in a country and not give especially not give them any credit for the things that go right but you certainly cannot blame a government for everything that is wrong because in a country we are all players we are all part and parcel of these efforts things can be done right if we have for example even if we have low taxes we in Panama dropped all of our import taxes all of my business friends said and they said that's it as Harry Truman said the buck stops here this is an order this is you will have to figure out what you are going to do you are going to have to do these things legally we are going to drop our import duties and there were a few people who didn't believe it didn't think that we were really going to crack down but we did but when we really saw that we were trying to do things right when we got the banking sector in Panama I mean their income tax was 7.7% on average but the manager was paying 27.5% so it was unfair it was unjust it was incongruent and yet the banking sector was untouchable when they are paying the dividends what they did was they paid on their external earnings they were not paying their domestic and so we changed the laws to tax these companies on their domestic revenue domestic income and not on the the funds that they were sending abroad today the maximum income tax is 15% with an exception of up to $100,000 zero tax rate for anyone who makes less than 100 grand the more disposable income that people have today has generated a growth in domestic consumption because of our competitive nature and because of our geographic position we are the home to many multi-national companies that operate throughout the region that competitive and comparative advantage I hope to talk to the president of Phillips who I understand is here interested in talking to us with regard to what is happening in Panama and so on and so forth with any company that wishes to set up operations in Panama because Panama is a safe secure country with a quality of life with low taxes and a lot of incentives we have good schools good levels of public security and safety and when I speak of schools let me know that the primary problem that we have in Latin America is the deficiencies in our educational system as a result of primarily the very powerful teachers trade unions across our different countries let me congratulate President Peña Nieto on the outstanding job that he has done in the area of education and also let me congratulate President Umaila because I had an opportunity to speak with the education who I see seated here we had an opportunity to sit down and talk about all of the shortcomings and all things that can be done the only way that our countries will truly be able to get out of this lethargy that we suffer from is through education and as President Peña Nieto has said and as others in Latin America have done excellent it would be excellent opportunity maybe next year to come to your country and to look at all those reforms I'm afraid our time is relatively short so I hope you give us the opportunity to follow up I'd love to and in this respect I just want to thank the presidents again it's very difficult to summarize but three conclusions the first one is that reforming a country needs a comprehensive approach even if this is politically sometimes very difficult and it needs courage and I think the panelists have shown this courage in a lot of action second I think we have to get used to a completely new image and picture of Latin America Latin America can become a kind of role model for inclusive gross policies and the third conclusion for me is that in order to achieve what you want to achieve you need a multi stakeholder approach you need to engage as you rightly said the business leadership I'm very pleased by the ways that we have so many business leaders here but we do not have only business leaders here we have the young leaders here I think you need the engagement of women into what you are doing and I think you are making progress in this respect you need also civil society and here in the room I think you have a multi stakeholder community and in this respect social entrepreneurs are particularly important and it has become a tradition that we conclude those opening sessions with a small celebration where we honor some of the outstanding people who act as social entrepreneurs and who do the societal change on the ground so I would like to ask Hilda Schwab as chair of the Schwab Foundation for Social Entrepreneurship to join us and to present to us the social entrepreneurs the Latin American social entrepreneurs of the year 2013 first lady Nadine Redia President Ricardo Maternelli President Enrique Peña Nieto Excellencies, ladies and gentlemen and dear friends yesterday took place the first summit on social innovation hosted by the ministry of development and social inclusion and minister Carolina Triveli together with the Schwab Foundation for Social Entrepreneurship I think this was an appropriate starting point for the World Economic Forum in Latin America here in Peru to discuss economic development and social progress I wanted to thank particularly the first lady for her engagement and her excellent closing remarks at the summit policy makers and experts from the field took part in the summit as well as many social entrepreneurs of the Schwab Foundation network now I have the pleasure to present to you the newly awarded social entrepreneurs in Latin America they are shining examples for what can be achieved with determination pragmatic approach and passion to address pressing social problems on issues such as malnutrition drinking water employment health environment education as we heard they have built financially sustainable business models which already have a wide scale social impact and can further be replicated they have been selected as social entrepreneur of the year 2013 and were chosen from a pool of over 500 candidates in national or regional processes I'd like to thank the jury members and our partners for their crucial support in the search and selection process in particular Grupo Folia in Brazil El Mercurio in Chile Fundación Sindlímites in Venezuela International Labor Organization in Central America and the International Inter-American Development Bank now I would like to present you three of these role models and I will start with Cibela Amado from Brazil Cibela Amado is the Executive Director of Chapada Institute and she has devised an innovative methodology for improving education by engaging parents educators and politicians the Chapada Institute provides support and training for continuing education for school teachers and administrators while simultaneously establishing networks in municipalities for broad collaboration around educational improvement since its founding 16 years ago the Chapada Institute has served about 4,000 education professionals and over 72,000 students Mois Cherem from Mexico Mois Cherem co-founded ANOVA which bridges the digital divide through community-based e-learning centers featuring advanced technology and well-trained facilitators in low-income neighborhoods these community centers known as RIA Learning and Innovation Network provide access to e-learning modules and personal facilitators RIA has become the biggest network digital centers in Mexico with 70 sites ANOVA has approximately 2,305 registered members 1,000 235,000 and 9,000 students per month and Mois told me this morning that he wants to establish one school per day in the next three years it's a challenge but I think the president will support you as we heard congratulations thank you very much now we come to Peru Kutole from Peru Kutole co-founded Rainforest Expeditions a private tourism company founded in the 1990s Rainforest Expeditions was the first company in Peru and the second in South America to partner with the native community to engage in tourism partnerships the company manages three ecologists in the Tambopata region Peruvian Amazon as well as a research center and is host to 13,000 guests per year the Posada Amazonas is entirely owned by the native community of Inferno and co-managed by Rainforest Expeditions sharing the profits from the lodge by including the community as a partner Rainforest Expeditions generates a commitment to the conservation of the forests including such difficult practices as the enforcement of no hunting zones thank you all for applauding these wonderful individuals who are role models as we were talking about they stand as good examples for the 500 candidates which have applied for this award I would like first to thank the panel again please stay here for a moment I would like to thank the panel again I think we had a great opening a very promising opening promising in terms of your countries in terms of Latin America I would like to thank you President Umala again for your great hospitality and the cooperation we had in preparing this meeting and now to conclude our morning session I would ask the awardees to join the presidents for group picture first lady to join us