People’s capacity to undertake new businesses that might create jobs, boost consumption and activate market niches will be a key factor in the economic recovery of Chile and the world. Finance Minister Andrés Velasco noted this during the world launch of the Global Entepreneurship Monitor (GEM) 2009, a report that analyzes the entrepreneurship situation in 54 countries around the world.
According to the study, Chile is very well positioned in this context. Thus, while the number of people beginning new businesses in the world’s wealthiest countries fell 10%, in Chile the crisis stimulated its citizens’ imagination and talent, with a 31% increase in the number of individuals who opened new businesses between 2008 and 2009.
According to the minister, this confirms the excellent international perception, as GEM highlighted, that the country presents significant business opportunities and low levels of fear of business failure, which is due to Chileans’ own initiative.
Velasco also highlighted the authorities’ work in this area. “The government has taken these realities into account in the policies that we have implemented over the last few years, which have been centered on providing determined support to emerging and small companies,” the minister emphasized.
One of the key points leads to this positive scenario was the promulgation of the statute for Small and Medium Enterprises (SMEs), which creates the conditions for good ideas to be implemented without excessive red tape and with a better relationship between oversight institutions, in addition to guaranteeing a system to support situations of insolvency.
At the end of the event, which was held on the campus of Universidad del Desarrollo in Concepción, the high-ranking national authority revealed diverse support measures in the form of financing, tax relief and incentives for innovation that were especially designed to shore up smaller companies and support them in their reactivation process after the financial crisis.