Peru relies significantly on its abundant natural capital for economic growth, development and human well-being. At the same time, the country’s rich terrestrial and marine biodiversity is subject to high pressure as a result of land-use change, overexploitation, industrial development and illegal mining and logging activities. This paper examines Peru’s efforts to integrate biodiversity into decision-making at different levels of the government and in various sectors of the economy. The analysis finds that the Peruvian government recognises the risk that depletion of the country’s natural capital may substantially undermine the long-term sustainability of the economy. Significant progress has been made to mainstream biodiversity, for example, through the creation of an enabling institutional and legal framework. However, a number of challenges remain, requiring targeted effective solutions, such as strengthening capacity of the public sector with a focus on the sub-national level, improving the quality and coverage of data to inform biodiversity mainstreaming, and scaling up biodiversity finance including through the use of economic instruments.