In an interview conducted by Professor José Valer, within the framework of the Sustainability Research Group at PAD Business School, Sir Paul Collier puts forward an idea that should directly resonate with business leaders in Peru: Latin America is not condemned to stagnation. On the contrary, it has exceptional conditions to become, in the coming decades, what East Asia was forty years ago: a region of sustained growth, productive transformation, and shared prosperity.

Collier’s starting point is not economic, but moral. In his view, societies begin to deteriorate not only when investment falls or productivity slows, but earlier: when they lose their sense of belonging and their willingness to contribute to the common good. He links this to polarization, the inability to listen to others, and the breakdown of a collective project. For Latin America, this observation is especially relevant because it explains why regions with enormous resources and a capable population can nevertheless coexist with fragmentation, violence, and fragile institutions.

However, Collier does not offer a pessimistic diagnosis. He offers concrete hope. He argues that Latin America is a “tremendously advantaged continent”: it has abundant natural resources, a large land area relative to its population, an extensive coastline, sufficient proximity to connect with the world and sufficient distance to remain relatively secure; moreover, it possesses a very unique advantage, almost unparalleled among large regions of the world: a common linguistic base, with Spanish and Portuguese as closely related languages, and an educated population. In other words, the region does not start from scratch; it starts with extraordinary assets.

That’s why his most provocative assertion deserves to be taken seriously: just as East Asia was the great transformative region of recent decades, Latin America could occupy that role in the future. Collier even speaks of the possibility of sustainable growth at 7% or 8% for an entire generation. It’s not a naive promise; it’s a hopeful warning: the potential is there, but it will only be realized if the region manages to articulate a common purpose.

Herein lies the core of the message for Peruvian business leaders. Collier questions the figure of the top boss who commands from above and reduces everyone else to mere executors. This style, he says, is a dysfunctional form of capitalism because it unnecessarily humiliates people. In contrast, he proposes another figure: the leader as  communicator-in-chief , someone who guides, convenes, aligns, and gives meaning. The company’s objective doesn’t disappear: it remains generating profits. But those profits must be embedded in a shared purpose that strengthens not only the firm but also the community in which it operates.

This point has direct implications for Peru. In a country marked by territorial divisions, centralism, and mistrust, businesspeople cannot limit themselves to managing balance sheets, capital expenditures, or market share. They must ask themselves what well-being they are helping to build for the local population. They must see the territory not only as a space for extraction, hiring, or logistics, but as a human community with identity, aspirations, and history. Collier insists that a sense of belonging begins at the local level and, from there, can expand to the national level. If that local base is disregarded or abandoned, cohesion breaks down.

This demands a new ethic of business leadership. It is not enough to comply with the law or implement reputation management programs. A deeper conviction is required: that the company is part of a collective task of social construction. Seeking the well-being of the local population is not a philanthropic appendage of the business; it is a condition for the business to be sustainable over time within a less polarized, more trusting, and more prosperous society. From this perspective, corporate purpose and territorial development cease to be separate agendas.

Collier also extends this reasoning to the political sphere. If business must abandon the “commander-in-chief” mentality, government must do something similar: recognize limits, submit to rules, build trust, and act with demonstrable honesty. In the interview, he argues that when political power is excessive, it ceases to be trustworthy. Therefore, he advocates for more modest governments, subject to legal restrictions that prevent corruption and arbitrariness. The core of the argument is clear: social trust is not rebuilt with rhetoric, but with costly, responsible, and verifiable actions.

Therefore, the shared purpose cannot rest solely on the private sector. It must extend to political leaders, institutions, and society at large. When business leaders, authorities, and citizens share a vision for the future, the region can manage expectations, invest more effectively, decentralize opportunities, and avoid the path Collier fears: first fragmentation, and then the authoritarian populist who promises to solve everything single-handedly. The alternative to this drift is not technical; it is simultaneously moral, institutional, and managerial.

For Peruvian businesses, the underlying message is demanding, but also inspiring. Latin America is not just a region of regulatory risks, social conflict, or political volatility. It is, above all, a region of historic possibilities. It has relative youth, resources, important cities, territory, connectivity, and a cultural foundation capable of articulating long-term projects. What is lacking is not assets. What is lacking, to a large extent, is the decision to converge around a shared purpose.

If business leaders in Peru heed this call, they can play a much greater role than that of efficient administrators. They can become true architects of cohesion, trust, and prosperity. And if this attitude is reciprocated by political leadership, then Latin America will cease to be seen as a deferred promise and will begin to be recognized for what it can become: one of the great regions of opportunity of the 21st century. Therefore, it is worth striving for; it is worth investing in; and it is worth leading…