President Alberto Fujimori of Peru has appointed a former senator, Javier Valle Riestra, as the head of his cabinet, following the sudden resignation of the previous chief minister, Alberto Pandolfi.

A BBC correspondent in Lima says Mr Pandolfi's departure followed differences with Mr Fujimori over policy and public spending.

The other cabinet ministers, who also offered their resignations, have all been re-appointed.

Under Peru's system of government, power is concentrated in the presidency.