Belaunde's first government
The first Belaunde administration (1963-1968) was a period of important demographic changes and urbanization in Metropolitan Lima, with the emergence of new social actors and unprecedented organizational forms. During this government, the shantytowns were renamed 'pueblos jóvenes', although the structural problems of housing, services and employment were not solved.
The processes of urbanization and modernization of Metropolitan Lima can be explained in relation to the demographic changes experienced by the country since the middle of the twentieth century, which generated new population contingents that became social actors, especially during the first Belaunde government (1963-1968) and the military regime (1968-1980), reconfiguring the physiognomy of the capital and overflowing the state's capacity, with unprecedented organizational forms. During this period, the previously called shantytowns were renamed 'pueblos jóvenes' by Belaunde. The different governments that succeeded each other from 1948 to 1968, including Belaunde's, proved incapable of solving the problems of housing, services, and employment generation, motivating the growing popular mobilizations in a new space of political struggle. Salaried workers reduced their income from 48% of the national income in 1963 to 35% in 1989, while businessmen and rentiers increased their income from 24% to 44% in the same period.