<P> Afterwards, in 1880 Chile's army easily beat the ill - equipped Bolivian and Peruvian armies . Bolivia _́ s army was soon defeated and withdrew after the Battle of Tacna on May 26, 1880 . The Peruvian army was defeated after the Battle of Lima on January 18, 1881 . </P> <P> The land campaign climaxed in 1881, with the Chilean occupation of Lima . Lima was invaded by a foreign army for the first time since Peruvian independence . Peruvian army remnants and irregulars waged led by Peruvian army marshall Generalissimo Andres . A. Caceres led a violent and merciless guerrilla war against Chile . One of the first ever recorded guerrilla war in modern history . </P> <P> This guerrilla war better known as the Campaign of the Breña was fought in the cold Peruvian Andes mountains and for two years the Peruvian resistance guerrillas beat the Chilean army many times . </P> <P> After four years of fighting, the Chilean army was logistically overextended and war weary, thus the Chilean army made a final counter-attack, the so - called strategic Battle of Huamachuco . This battle lasted many days and was by far the most cruel of the war . Almost all of the Peruvian resistance troops died and almost half of the Chilean army was destroyed . </P>

What did the finance minister mean by peru being an​ open economy