"I must say that from now on we intend to lift restrictions on movement," Castillo said, speaking at a meeting of Congress.
The Interior Ministry urged citizens to protest peacefully, without violence or disruption of public order.
On Tuesday, Peruvians protesting against the government over rising fuel prices tried to break into the country's Congress building.
The cost of gasoline and diesel fuel in the world has recently been breaking records due to rising world oil prices amid sanctions against Russia and the desire of a number of Western countries to refuse to purchase Russian oil. In Peru, there was a strike of transport workers who demanded that fuel prices not be allowed to rise, and protests broke out in the country. Castillo imposed a curfew in the capital.