CHL Chile profile

Chile operates a presidential system with a multi-party legislature, but governance is hampered by party fragmentation and fragile coalitions that can slow reform. Policy direction often shifts with electoral incentives, leading to policy volatility and uneven implementation. Concerns persist about transparency, accountability, and the effectiveness of public procurement and oversight in various levels of government. The judiciary is formally independent but faces resource constraints and procedural delays that undermine timely enforcement. The ongoing constitutional reform process is unsettled and affects long‑term policy planning, while conflicts over indigenous rights and land use test the administrative capacity to balance development with autonomy protections.

Colonial history Colonized by Spain
Former colonizer Spain
Government type Presidential Republic
Legal system Civil law system
Political stability Generally stable

The economy remains export oriented with mining as a central pillar and a private sector that dominates economic activity. Dependence on commodity cycles makes earnings and public finance sensitive to external shocks. Persistent inequality and debates over social spending challenge consensus on inclusive growth and social protection. Labor market rigidity and gaps in pension coverage complicate broader prosperity and risk social discontent. Efforts to diversify the economy and raise productivity progress unevenly across sectors and regions, with environmental costs and water concerns tied to resource extraction.

Currency name Chilean Peso (CLP)
Economic system Market economy
Informal economy presence Yes, exists but not overwhelmingly dominant
Key industries Mining, agriculture, fishing, manufacturing, services
Trade orientation Export-oriented

Chile’s long, varied geography creates significant regional disparities in climate, infrastructure, and access to services. Administrative and logistical arrangements sometimes struggle to connect remote areas with central markets and opportunities. The country is exposed to natural hazards and climate change effects, including droughts and seismic risk, which stress resilience and planning. Water stress in arid zones and competing demands from agriculture, industry, and urban users pose governance challenges. Environmental governance contends with balancing development, mining, and conservation, alongside indigenous stewardship and land rights considerations.

Bordering countries Peru, Bolivia, Argentina
Climate type Temperate, arid, tropical
Continent South America
Environmental Issues Deforestation, air and water pollution, desertification
Landlocked No
Natural Hazards Earthquakes, volcanic eruptions, tsunamis
Natural resources Copper, lithium, agricultural products, fish, timber
Terrain type Mountainous, coastal plains, deserts

Social inequality remains a central issue, with disparities in education, housing, and health outcomes across regions and communities. Public service access and quality vary, and affordability constrains many households. Debates over education funding, system efficiency, and outcome gaps continue to shape policy. Progress toward gender equality is evident but gaps persist in labor participation, leadership representation, and access to opportunities. Indigenous communities face structural barriers and enforcement of minority rights varies, with ongoing tensions around resource use and autonomy. Urbanization, migration, and service demand shape social dynamics and integration needs, while crime and safety perceptions influence trust in institutions.

Cultural heritage Rich indigenous history, vibrant arts and music scene
Driving side Right
Education system type Compulsory education system
Ethnic composition Predominantly mestizo, with indigenous and European influences
Family structure Nuclear families are common; extended families play an important role
Healthcare model Mixed public and private healthcare system
Major religions Christianity (predominantly Roman Catholic), Protestantism
Official languages Spanish

Infrastructure quality is uneven, with major urban areas well served and rural regions lagging in connectivity and service delivery. Transport networks in cities face congestion and maintenance needs, while cross‑border logistics rely on limited corridors. Energy infrastructure has shifted toward renewables, yet grid integration and storage capacity require upgrades for reliability. Digital connectivity expands, but the digital divide persists between urban and rural areas and across income groups. Innovation ecosystems exist but remain fragmented, with limited scale‑up potential for local startups and constrained public investment and regulatory certainty affecting technology adoption across sectors.

Internet censorship level Low
Tech innovation level Developing, with growing startup scene
Transport system type Mixed (road, rail, air, maritime)

Development indicators

Indicator Year Value Rank 5Y Rank Change
Military expenditure (current US$) 2023 5,491,661,224 39 +5
Political Stability and Absence of Violence/Terrorism 2023 0.136 94 +21
Regulatory Quality 2023 0.926 41 +16
Rule of Law 2023 0.625 53 +15
Unemployment, total (% of total labor force) 2023 9.01 15 -30
Birth rate, crude (per 1,000 people) 2023 8.96 170 +23
Death rate, crude (per 1,000 people) 2023 6.5 123 -16
Exports of goods and services (% of GDP) 2024 33.7 73 -50
GDP per capita (current US$) 2024 16,710 63 -13
GDP per capita, PPP (current international US$) 2024 34,637 63 -8
High-technology exports (current US$) 2023 1,841,775,193 49 -7
Hospital beds (per 1,000 people) 2021 1.97 40 -31
Imports of goods and services (% of GDP) 2024 30.1 97 -38
Inflation, consumer prices (annual %) 2024 4.3 50 -30
Life expectancy at birth, total (years) 2023 81.2 43 0
Mortality rate, under-5 (per 1,000 live births) 2023 7.2 122 -7
Net migration 2024 58,316 23 +8
Patent applications, residents 2021 402 46 -1
Population, total 2024 19,764,771 65 +2
Prevalence of undernourishment (% of population) 2022 2.5 91 +5
Renewable energy consumption (% of total final energy consumption) 2021 24.2 85 +2
Research and development expenditure (% of GDP) 2021 0.36 59 -1
Foreign direct investment, net inflows (% of GDP) 2024 3.79 30 -15
Current account balance (% of GDP) 2024 -1.47 67 -66
Level of water stress: freshwater withdrawal as a proportion of available freshwater resources 2021 8.98 97 +1
Total greenhouse gas emissions excluding LULUCF per capita (t CO2e/capita) 2023 6.18 62 -3
Current health expenditure (% of GDP) 2023 10.1 6 -26
Domestic general government health expenditure per capita, PPP (current international US$) 2023 1,653 5 -46
Physicians (per 1,000 people) 2022 3.17 14 -40
Suicide mortality rate (per 100,000 population) 2021 7.69 84 +22
Individuals using the Internet (% of population) 2023 94.5 22 -8
Control of Corruption 2023 0.969 34 +1
Government Effectiveness 2023 0.718 46 +5
Poverty headcount ratio at national poverty lines (% of population) 2022 6.5 34 -11
Logistics performance index: Quality of trade and transport-related infrastructure (1=low to 5=high) 2022 2.8 18

Demography and Health

Chile’s population stands at about 19.76 million in 2024, reflecting a sizable, young to middle-aged demographic with a high level of urbanization implied by subsequent indicators. The crude birth rate is 8.96 per 1,000 people (2023), and the crude death rate is 6.5 per 1,000 (2023), indicating a modest natural population growth. Life expectancy at birth is 81.2 years (2023), signaling strong health outcomes by global standards, while the under-5 mortality rate is 7.2 per 1,000 live births (2023), suggesting continued gains in child health though room for improvement remains. Net migration of 58,316 in 2024 adds positively to population growth and labor supply. Chile’s food security appears solid, with a prevalence of undernourishment at 2.5% (2022) and poverty down to 6.5% (2022), pointing to relatively favorable living conditions for a large share of the population. The health system shows substantial public financing with current health expenditure at 10.1% of GDP (2023) and domestically funded health expenditure per capita, PPP, of 1,653 international US$ (2023), indicating a strong public health footprint. The density of health professionals is respectable, with physicians at 3.17 per 1,000 people (2022) and hospital beds at 1.97 per 1,000 (2021), though distribution and access in rural areas can still pose challenges. Digital connectivity is widespread, with 94.5% of the population using the Internet in 2023, enhancing access to information, telehealth, and education. Overall, demography and health in Chile combine favorable longevity and health outcomes with ongoing needs in child health, rural healthcare access, and employment among job seekers.

Economy, Trade and Investment

Chile presents a mid-to-high income economy with GDP per capita of 16,710 current US$ in 2024 and 34,637 GDP per capita, PPP (current international US$), indicating substantial purchasing power relative to many peers in the region. The economy is open and trade-oriented: exports of goods and services account for 33.7% of GDP (2024), while imports of goods and services represent 30.1% of GDP (2024), underscoring a highly integrated external sector. Inflation is moderate at 4.3% (2024), and the unemployment rate sits at 9.01% (2023), reflecting labor market slack that can affect consumer demand and growth dynamics. Foreign direct investment net inflows reach 3.79% of GDP (2024), signaling continued confidence from international investors and the potential for capital deepening. The current account balance stands at -1.47% of GDP (2024), a modest deficit that suggests Chile remains near balance in its external accounts. Chile is a producer of high-technology goods in modest volume, with high-technology exports valued at about 1.84 billion US$, (2023) and research activity evidenced by R&D expenditure at 0.36% of GDP (2021) and 402 resident patent applications (2021), indicating a developing but still comparatively lightweight innovation ecosystem. Evidence of strong logistics capability—reflected by a Logistics Performance Index of 2.8 (2022) and a relatively high ranking position (18) for trade-related infrastructure—supports efficient import-export flows. All told, Chile’s economy blends openness and resilience, anchored by solid macro stability, a favorable investment climate in several governance dimensions, and ongoing opportunities to raise productivity through innovation and deeper integration into regional and global value chains.

Governance and Institutions

Chile’s governance framework shows a strong performance on quality-of-government dimensions: Regulatory Quality is high at 0.926 (2023), Control of Corruption is exceptionally strong at 0.969 (2023), and Government Effectiveness is 0.718 (2023), with Rule of Law at 0.625 (2023). These indicators point to a bureaucracy that generally implements policies effectively, maintains low levels of corruption, and supports a stable policy environment—conditions favorable to business, investment, and public service delivery. However, Political Stability and Absence of Violence/Terrorism scores are relatively weaker at 0.136 (2023), with a ranking of 94, suggesting periodic volatility or political risk that can affect investor sentiment and policy continuity. Social indicators show a poverty rate of 6.5% (2022), indicating progress in reducing deprivation, while the government’s health expenditure emphasis (10.1% of GDP) and per-capita health spending in PPP terms (1,653 international US$) speak to a state commitment to social protection and health services. In sum, Chile exhibits robust institutional quality in regulation and corruption control, alongside some political-risk pressures that stakeholders monitor for long-term policy and investment planning.

Infrastructure and Technology

Chile’s infrastructure and technology profile blends strong digital connectivity with significant trade and transport capabilities. Individuals using the Internet reach 94.5% of the population (2023), illustrating near-universal digital access that underpins education, innovation, and e-services. The country’s logistics and transport infrastructure receive a favorable assessment with a Logistics Performance Index of 2.8 (2022) and a high relative standing (rank 18), indicative of efficient ports, customs, and supply chains that support trade activity. Healthcare capacity is visible in 3.17 physicians per 1,000 people (2022) and 1.97 hospital beds per 1,000 (2021), providing a reasonable base for clinical services and potential accelerators for digital health. Chile’s innovation footprint is modest but growing, with high-technology exports around 1.84 billion US$ (2023) and R&D expenditure at 0.36% of GDP (2021), alongside 402 resident patent applications (2021). The presence of a well-educated workforce and open trade logistics bodes well for further diversification into services, digital industries, and knowledge-intensive manufacturing.

Environment and Sustainability

Chile exhibits a mixed but actionable sustainability profile. Renewable energy consumption accounts for 24.2% of total final energy consumption (2021), signaling ongoing progress toward cleaner energy, though the majority of energy remains non-renewable. Total greenhouse gas emissions per capita excluding LULUCF stand at 6.18 t CO2e (2023), indicating a moderately high emissions footprint per person relative to some peers, with room for decarbonization as technology and policy shift. Water resources show manageable stress, with freshwater withdrawal at 8.98% of available resources (2021), implying reasonable water security but exposure to variability in climate and hydrological cycles. The prevalence of undernourishment is low at 2.5% (2022), reflecting robust food availability and nutrition. Taken together, Chile’s environmental indicators suggest a policy space with momentum toward renewables and climate resilience, while continuing focus on reducing emissions intensity and protecting water resources amid changing climate conditions.