Saturday, March 12, 2022

Economic Overview of Chile

According to Chile trade statistics, the country’s economic freedom score is at 75.2. This score makes the country’s economy the 19th freest based on the 2021 index. According to Chile trade statistics, the country’s overall rating fell by 1.6 points, mainly due to a slight drop in investment freedom.

Within 32 countries located in the Americas, Chile has a number two ranking. The country’s overall score is higher than regional and global averages.

Economic Freedom in Decline

Since 2013, the country’s economic freedom has been experiencing a general decline. The year 2013 was when the country’s economy was attempting to join the free ranks. Currently, Chile is a firm participant in the mainly free economic category.

If the country establishes a new constitution, then this may threaten Chile’s future economic freedom. In this case, the country could enforce higher taxes, increase government spending and implement additional regulations that would negatively impact the country’s index markers.

Chile’s Background

Chile is a world leader in the production of copper, and its main GDP growth is from exporting minerals, seafood, wine, wood and fruit. Sebastian Pinera is the country’s president, and as a center-right politician, he is dealing with tough left-leaning parties in Congress.

There have been violent protests in the country, which is causing people to call for more protection. This has negatively impacted Chile’s economy.

According to Chile trade statistics, the country has 29 special trade agreements in effect. Its average tariff rate is at 6%. Since the country has implemented a secure and transparent investment platform, foreign investors are comfortable trading in Chile.

The Impact of COVID

Like other countries, COVID-19 has impacted Chili. As of December 1, 2020, the country has experienced 15,430 deaths due to the virus. The pandemic is causing economic forecasters to predict a contraction to the economy by about 6% in 2022.

Less Corruption

Chile recognizes its citizen’s secured interests in owned property. Expropriation rarely occurs, and there is a dependable system in place for recording mortgages and other liens. Chile’s judiciary system is independent, and it has a competent court system. The country is the second least corrupt country in South America, making it a country where people generally enjoy economic freedom.

Read a similar article about India trade statistics here at this page.

No comments:

Post a Comment

Why Are Tariffs Used?

Importing and exporting takes place in nearly every country across the world. Everything from petroleum products to agriculture can be an im...