Lima tends to be an under-appreciated city, tourism-wise, but it’s got a lot to offer, including a climate that is generally pleasant all year round. Hotels tend to be cheap, though at the lowest ranges you’ll get something very basic, and maybe not in the best neighborhood. There are many really nice and affordable hotels in the beachy Miraflores area, which many travelers find to be an ideal location.
If you are traveling independently and you skip the popular city bus tours then most of the attractions are either free or very cheap. The city center of Lima is jammed with cathedrals and other interesting monuments, and seeing them costs nothing.
Food in Lima is generally cheap as well, and don’t miss the infamous Pizza Street in Miraflores, which is lined with pizza restaurants among other things. Drinks tend to be quite affordable as well, so once you get here it’s fairly easy to have a good time without spending too much cash.
If you’ll be moving on to Cusco, here’s how to do the Inca Trail to Machu Picchu on a low budget.