Chile is choosing an aggressive, vendor-neutral approach to its 5G expansion, which will place it significantly ahead of other Latin American countries. The Government said that as long as companies (Huawei included) meet 'set technical standards' for cybersecurity, Chile will essentially dictate the suppliers it chooses to build the network.
Category: Public policy
Information related to political affairs that have an impact on Chile’s economic development.
After new containment measures, 64.3% of Chile’s GDP will be quarantined
As of Thursday 25 March, 69% of Chile's population will be quarantined following the implementation of COVID-19 measures. In the Metropolitan Region (RM) the impact reaches 77% of the population.According to Clapes UC economist Valentina Cortés, in terms of production, 64.3% of GDP will be under quarantine.
Government seeks to inject $6 bn into COVID fund
The government submitted an initiative to Congress that would expand the COVID fund by $6 billion, taking it from $12 billion to $18 billion. The initiative seeks to create a new bonus for the middle class and a solidarity loan, among other projects. Finance Minister Rodrigo Cerda said the extra $6 billion would come from increased copper revenues and, if necessary, from the Economic and Social Stabilisation Fund (FEES).
Chile announces new travel restrictions
The Minister of Health, Enrique Paris, announced that new restrictions for travelers will be put in place. They will be applicable for travelers coming from anywhere in the world, as well as some additional measures for travelers coming from Brazil. According to Saturday’s report, 7,084 new cases of COVID-19 were registered, breaking the single day record of 6,938 recorded last June.
Chile receives 2 million doses of Sinovac COVID-19 vaccine
A new shipment carrying 2 million doses of the Sinovac COVID-19 vaccine arrived in Chile on Sunday. This is the sixth COVID-19 vaccine shipment arriving in Chile. The doses will be distributed throughout the country and will allow the vaccination campaign against COVID-19, which began on March 3rd, to continue. With this new shipment, the total number of vaccines, including those from Sinovac and Pfizer-BioNTech, received in Chile to date is more than 13 million.
Chile finance commission rejects royalty bill
The finance commission of Chile’s lower house has rejected a bill looking to increase mining royalties, by seven votes to five. The bill, which aims to set a royalty of 3% ad valorem for copper and lithium, and which received a favourable reading by the mining commission in March 2020, will be returned to the Chamber of Deputies. Industry body, Sonami, believes no additions should be made to the government take given the actual system includes a mechanism for the government to receive higher rents during times of higher prices.
Chile signs agreement with the largest port in Europe to export green hydrogen
The biminister of Energy and Mining , Juan Carlos Jobet, announced that a first Memorandum of Understanding (MoU) was signed with the largest port in Europe to export green hydrogen. It is the port of Rotterdam, located in the Netherlands, where 13% of goods destined for Europe enter. For the Government, this agreement "will be key" for the development of green hydrogen in Chile.
The Netherlands and Chile sign a tax treaty
The Netherlands and Chile signed a convention for the elimination of double taxation with respect to taxes on income, capital, and the prevention of tax evasion and avoidance. The Treaty contains clauses to prevent tax avoidance and the payment of double taxation. Currently, there is no official date as to when the Treaty will enter into force, but it will be after parliamentary ratification and the exchange of ratification instruments between the contracting states.
Chile restores capital lockdown despite rapid vaccinations
Chile has restored quarantine restrictions in the Santiago metropolitan region because of rising COVID-19 cases in spite of an expeditious vaccination drive. The new restrictions will take place at 5am on 13th March and will be reviewed at the end of the month to determine if there will be an extension, according to the health ministry. Around 4.5 million residents have been vaccinated to date, representing 23% of the population.
President Piñera announced new measures to support middle-class
President Piñera announced the delivery of a new middle class bond which will fluctuate between Ch$400,000 ($560.8) and Ch$600,000 ($841.2), depending on the size of the families that qualify. This is part of the measures to mitigate the impact that COVID-19 has had on the labor market and household incomes.
