Hernando de Soto

Who Is Hernando de Soto?

Hernando de Soto is an influential Peruvian economist, founder, and president of the Institute for Liberty and Democracy (ILD) based in Lima, Peru. Renowned globally for his work on informal economies and the role of property rights in economic development, de Soto advocates a groundbreaking approach to addressing poverty through the formalization of property and businesses in developing nations. In 2004, *Prospect* and *Foreign Policy* readers named him the most influential Latin American, and *Time* included him among the five leading Latin American innovators. *Forbes* also recognized him as one of the “15 innovators who will reinvent your future” in its anniversary edition.

What is his Background?

Since founding the ILD in 1980, Hernando de Soto has led extensive legal reform initiatives to provide disadvantaged populations with access to property rights, enabling them to leverage their assets for credit and business expansion. In Peru, his reforms have benefitted over 1.2 million families and helped around 380,000 businesses enter the formal economy. According to *The Economist*, these changes significantly weakened the influence of the Shining Path guerrilla movement by empowering local citizens.

Hernando de Soto has advised institutions like the World Bank and led development programs in countries such as Egypt, Tanzania, and El Salvador. He has held leadership roles with the Copper Exporting Countries Organization, Peru’s Central Reserve Bank, and the Swiss Bank Corporation’s Consulting Group. He is also the author of acclaimed books *The Other Path* (2002) and *The Mystery of Capital* (2003), both central to economic development theory.