Chile leads Latin America on Index of Economic FreedomPublished: January 26, 2009
The 2009 Index of Economic Freedom ranks Chile first in Latin America and eleventh in the world for economic freedom. The index places Hong Kong and Singapore as the world's leading economies, whilst Chile's position is just below that of Great Britain.
Among Latin American countries, Chile achieved the highest rank at 11, followed by Uruguay some distance below at 38. Other economies in the region included Peru (ranked 57), Colombia (72), Brazil (105), Bolivia (130), Ecuador (137), Argentina (138), and finally Venezuela (174).
Chile's economic freedomWith an economic freedom score of 78.3, Chile enjoys the highest degree of economic freedom in the South and Central America/Caribbean region. According to the Foundation, Chile's record of economic reform includes transparent and stable public finance management and strong protection of property rights. Chile has successfully pursued free trade agreements with various countries around the world, and this openness to global trade and investment, combined with macroeconomic stability, has encouraged stable long-term growth.
Financial freedomChile's financial system is diversified and stable compared to those of other regional economies, with a sound regulatory and supervisory framework. In fact, the Foundation found Chile's financial system to be one of the most stable and developed in both the region and also the world. Banking is efficient, with strict limits on lending to a single debtor or group of related companies. Twelve foreign banks and 14 domestic banks compete on an equal footing, and Chile's liberal capital market is the region's largest.
Investment freedomThe Foundation found that the overall freedom to start, operate, and close a business is well protected under Chile's regulatory environment. Starting a business takes an average of 27 days, compared to the world average of 38 days. Foreign and domestic investments receive equal treatment, and there are no restrictions on repatriation.
Source:
www.economiaynegocios.cl