'Drag Race' Star Blasts Peru's Bill Categorizing Trans People As 'Mentally Ill'

Transgender model Carmen Carrera is speaking out against Peru's new bill that officially classifies transgender, nonbinary, and intersex people as "mentally ill."

Carmen -- who is of Puerto Rican-Peruvian ancestry -- tells TMZ she thinks the government's move aims to change the personal beliefs of the Peruvian people, who she says are actually supportive of the LGBTQ+ community, especially since they've had transgender and nonbinary figures throughout their indigenous history.

The "RuPaul's Drag Race" alum believes the Peruvian government is trying to cash in on transgender people getting insured, which she believes is why they're falsely categorizing their transition as a mental illness.

She notes trans people getting improperly pigeonholed in a category that will lead to abuse.

CC explains that luckily, in the U.S. where she lives, she has "incongruence of gender" -- a medical category in which trans people are able to receive special care ... something from which she's greatly benefited.

As for Peru's new decree, signed by President Dina Boluarte earlier this month, Carmen says it has the potential to influence other countries to falsely categorize trans people.