Country Strategy

Together, IDB staff and Chile determine how Chile’s priorities coincide with the Bank’s development strategies for the region. The product of that process is the IDB country strategy with Chile, containing the Bank's expected program for Chile for the November 2011-June 2014 period.

Country strategies include an overview of the country’s current economic situation. They draw on analytical work conducted by the Bank and other parties on a wide range of economic and social sectors, such as rural and urban development, health, education, government modernization, transportation, trade, and the environment, among others.

Chile’s Operational Strategy 2011-2014

Chile has been characterized by its sound economic performance, having consolidated its macroeconomic policies and its institutions. On 11 March 2010 the government of the Coalición por el Cambio (Coalition for Change) took office, ending a cycle of four successive governments of the Concertación that extended over 20 years. The new administration has maintained the basic lines of economic and social policy that had laid the basis for the economy’s solid performance and for the progress on social indicators. The main challenges for the country are to boost overall economic productivity and converge towards OECD standards.

The IDB is the leading multilateral agency in Chile, accounting for 81% of the country’s total multilateral debt. However, the Bank’s exposure is low as a proportion of total public sector external debt (3.5%) and as a percentage of GDP (0.3%).

The Bank and country authorities have identified the following strategic areas for cooperation: (i) Labor Market: Equity and Productivity; (ii) Climate Change; (iii) Innovation, Science and Technology; (iv) Public Sector Management; (v) Citizen Security; (vi) Transportation and Road Safety; and (vii) Trade and Integration. At the same time, the private sector windows will be seizing business opportunities in the areas of climate change; transportation and road safety; innovation, science and technology; and trade and integration.