Proposal for a Multidimensional Local Development Index for Rural Communities in the Amazonas Region of Peru

Rural areas in the Peruvian Amazon exhibit profound structural gaps, yet traditional development measurements often rely on linear, compensatory approaches that mask simultaneous deprivations. Achieving the Sustainable Development Goals (SDGs) in these territories requires comprehensive diagnostic tools adapted to complex local realities. This study proposes the Multidimensional Local Development Index (MLDI) for 63 rural communities in the Amazonas region in Peru. Utilizing data from the 2024 National Agricultural Survey and fieldwork, an initial set of 29 candidate indicators across six dimensions (Population, Social Welfare, Economy, Environment, Technology, and Production) was identified and validated via the Delphi method. Following a variance-based proportional weighting, the 8 most statistically discriminant indicators were retained and aggregated using a geometric mean to explicitly prevent compensatory biases. The MLDI revealed a generalized scenario of “Low” to “Very Low” development (scores ranging from 0.11 to 0.37), with no communities achieving medium or high levels. The non-compensatory aggregation exposed a critical territorial dynamic: the “illusion of productivity”. While some settlements showed advances in agricultural output or internet access, severe structural bottlenecks prevented these from translating into economic well-being. The study identified significant transmission friction between productive volume and household income. The results suggest that sectoral interventions focused solely on increasing agricultural yield or digital connectivity are insufficient to reduce rural poverty. To achieve sustainable development, public policies must shift toward integrated territorial management, ensuring that productivity gains are strictly paired with infrastructure, market access, and institutional capacity.