A Chilean Explains How Foreigners Can Prosper in Chile

The Chilean author of a blog about business opportunities in Chile has responded to my post, Why You Should NOT Move to Santiago, Chile. Some of the points he makes are in my post, Why You Should Move to Santiago, Chile but he adds other info, too. He wrote on his blog about why you should invest in Chile.

The remainder of this post are his words.

Every country has pros and cons around the world, and you choose your ecosystem where to live for different reasons.

Some insights to create a business. I am certain that if you want to start running a copper mine wherever around the world you will need many authorizations during a year at least to run it, depending of the scale, location, the mineral, environmental studies, etc. That it is the business world, and people comes to this leading country on the mining industry. But if you want to start as contractor for the mining industry in Chile, you create the company and during the same week you are on business.

Regarding your complaint about banking restrictions it is not only for foreigners, they are applied also to Chileans. They started more than 40 years ago, and the restriction applied to foreigners, has kept the country out financial bubbles. Because short term capital inflows mostly don’t come to Chile, due to such restrictions. Secondly, Chile has been the country receiving more foreign investment during the last 40 years, only after Brazil and Mexico, which are giant economies compared to Chile. So, the restrictions had been effective to finance real long term productive projects and provide stability to the country.

Regarding the high cost of traveling trough Chile, it is also something paid by Chileans. We are a narrow country, very long, a broken geography and a small population. And we live happy here. We have choosen to have ecotourism, fly fishing, birdwatching, skiing, cruising, sky observation, dessert and mountain trekking, rainforest observation, and other more selective options for tourism. The reason? Wilderness needs to be protected. We don’t want hordes of people destroying and contaminating everything. We can not have mass tourism. Brazil is a huge country and can have mass tourism. Argentina size is also more than 3 times larger than Chile, so prices, services and other things can be cheaper for simple scale of operation.

But Chile has been the leading economy of Latin America during the last 25 years in average rate of growth. Stability has a price, and foreigners that have come to live and stay value it. Keeping political stability, a well respected legal system, property rights, etc, are assets that people looking for a long stay, value very much. Clearly Chile is not cheap for a short visit. There are other countries for such election.

Chile has been at the top of Latin America on the classification of our debt and we have the lowest country risk in Latin America. This has has happened during the last 40 years.

Your comment regarding the limitation to hire foreign Personnel in Chile is misleading for newcomers. There is a restriction, but when a business needs a skilled foreigner, there is no limitation at all. The company hiring you, presents the application !!

People that is living comfortable on his home country, with his family, a good job, on a peaceful environment, doesn’t move as immigrant. He doesn’t need to leave his comfort zone. People seeking for new opportunities are going to the unknown because they are not having a good time at their home country. That it is the primary reason. I am certain that searching for air conditioning it is not on their priorities. People moves because he is not being able to provide support for his family or because poverty is the only future that he sees ahead, or because crime or war are threatening his family. Or because he is looking 20 years ahead and he sees that his kids would not be able to buy a real estate in Europe when they may become older, because it will not be affordable. But in Chile or South America it is still possible to secure that future for your kids.

So, whoever has choosen to stay in Chile, be a layman from Peru, Ecuador, Argentina, or a skilled worker from Europe, Argentina, Brazil, etc all of them are most than welcome. My grandparents came very young from Spain almost 80 years ago, because they were having a rough time there. The first settlers to USA were all having a fancy time at England, Ireland or Europe before they move to New England? I don’t think so. By the way, there are many Americans and Europeans coming as business owners. Everyone is welcomed. The layman, the skilled person and the businessman.

Sorry to be your contradictor on the points I wrote. I don’t want to extend further this post, but I hope to assist some of your potential readers with a different view, based on more than 25 years of experience assisting foreigners in Chile.

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