World Bank puts Chilean economy at forefront of Latin America

Chile is ranked 37 out of 185 world economies in the 2013 Doing Business Report, making it the best country for business in the region.

The World Bank has ranked Chile as the best country for doing business in Latin America, placing the nation in 37th place out of 185 economies in the world.

The analysis, entitled Doing Business Report: Smarter Regulations for Smaller and Medium-Size Enterprises, aimed to establish investors’ ability to conduct business based on a host of criteria.

Published last week, the study has been carried out annually for a decade now with the help of the International Financial Cooperation. Its goal is to track the world tendency towards simplification of regulations.

“There are countries that these indicators are taken very seriously and have made very important progress”, Augusto López-Claros, director of global indicators and analysis, World Bank Group told the press.

“The authorities have realized that having clear and reasonable rules is a fundamental part of motivating investment and sustainable growth,” said Lopez-Claros.

Among the indicators the World Bank evaluated were the level of difficulty in; starting a business, obtaining construction permits, accessing electricity, registering property, protecting investors, paying taxes, trading across borders, and enforcing contracts.

Within Chile’s overall ranking, the country was recognized for the facility of starting a business, ranking 32 out of 185, the ability to protect investors, also 32, and for facility at paying taxes and evaluation of tax rate, Chile ranked 36.

Following Chile in the region, Perú was positioned at number 43, Colombia (45), and México (48). Argentina ranking 124 and Venezuela 180 did not fare so well, while Brazil fell back four spots from last year landing at 130.

Chile’s position at 37 was two spots higher than that of the last Doing Business Report the World Bank published in 2012.

The positive news for the Chilean business owners comes in the wake two similar studies released earlier this year. The Fraser Institute called Chile one of the freest economies in the world while the International Monetary Fund (IMF) had it pegged as one of the strongest.

The IMF predicted that by 2014, Chile would be the first Latin American nation with GDP higher than US$20,000, therefore propelling it across the divider between developing nations and developed ones.

This post is also available in Spanish