2023 Investment Climate Statements: Chile
Date of Publication
1-1-2023 12:00 AM
Security Theme
Economic Stability
Keywords
Finance Infrustructure Investment Energy Chile, economic stability
Description
Chile, historically known for its stability and high prosperity, experienced widespread civil unrest in 2019 due to perceived economic inequality, leading to a plebiscite in 2020 to redraft the constitution. However, a significant majority rejected the new constitution in a 2022 plebiscite, leading to another upcoming plebiscite in 2023 for a more moderate document. Despite these political developments, Chile's strong macroeconomic policy framework has allowed it to respond to economic challenges, with 2022 growth at 2.4%. The country remains attractive for Foreign Direct Investment (FDI) with market-oriented policies, a sound legal framework, and relatively low corruption. However, concerns persist about potential legislative and constitutional reforms impacting certain sectors and compliance with international obligations, especially in intellectual property and project approvals.
2023 Investment Climate Statements: Chile
Chile, historically known for its stability and high prosperity, experienced widespread civil unrest in 2019 due to perceived economic inequality, leading to a plebiscite in 2020 to redraft the constitution. However, a significant majority rejected the new constitution in a 2022 plebiscite, leading to another upcoming plebiscite in 2023 for a more moderate document. Despite these political developments, Chile's strong macroeconomic policy framework has allowed it to respond to economic challenges, with 2022 growth at 2.4%. The country remains attractive for Foreign Direct Investment (FDI) with market-oriented policies, a sound legal framework, and relatively low corruption. However, concerns persist about potential legislative and constitutional reforms impacting certain sectors and compliance with international obligations, especially in intellectual property and project approvals.
