LIMA, Peru (AP) — Peru’s defense and foreign ministers resigned Wednesday following an announcement by the country's interim president to defer the decision on a $3.5 billion deal for U.S. F-16 fighter jets to his successor who will emerge from a presidential runoff vote in June.

Last week, interim President José María Balcázar said he lacks the legitimacy as a temporary leader to make the commitment to buy 24 fighter jets manufactured by U.S.-based Lockheed Martin and that his successor should make the decision.

“For us to commit such a large sum of money to the incoming government would be a poor practice for a transitional government,” Balcázar said at the time.

U.S. Ambassador Bernie Navarro reacted to the announcement, saying on X that if Peru “negotiates in bad faith” or undermines U.S. interests, he would take measures at his disposal. He did not elaborate.

On Wednesday, both Defense Minister Carlos Díaz and Foreign Minister Hugo de Zela stepped down.

Díaz's resignation letter, obtained by The Associated Press, said that postponing the purchase “could compromise" Peru's interests. Both ministers said at a news conference that they had unsuccessfully tried to persuade Balcázar to follow through on the deal.

Díaz said that even without Balcázar's approval, officials from the Ministry of Defense signed the contract on Monday for the purchase of the aircraft, as stipulated under the deal.

Speaking to a local radio station, de Zela accused Balcázar of misleading the public about the contract. Díaz noted that specific details of the deal remain undisclosed because of their classified nature.

In 2024, the government of then-President Dina Boluarte announced that Peru would allocate $3.5 billion to the purchase of 24 fighter jets through domestic borrowing of $2 billion in 2025 and $1.5 billion in 2026. Among the companies that submitted bids were, in addition to Lockheed Martin, the Swedish Saab and the French Dassault Aviation.

Peru’s Congress in February elected Balcázar as the country’s eighth president in a decade, replacing another interim leader who was ousted the previous day over corruption allegations just four months into his term.

Peru is holding a presidential runoff on June 7 even as votes are still being counted and officials are sifting through tally sheets arriving from remote areas and Peruvian consulates abroad following the first round on April 12.

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