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IMD World Competitiveness Yearbook 2023, Digital 2022, Talent 2022: summaries

COUNTRY CHILE
PROFILE
WORLD COMPETITIVENESS
RANKING 2023
All data are available from the
World Competitiveness Online.

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1
 Chile
Competitiveness Trends – Overall

OVERALL PERFORMANCE (64 countries) BASIC FACTS Rank

2019 2020 2021 2022 2023
Capital Santiago de Chile
2022
Land area (square km '000) 757
38 2022
42 Exchange rate (per $) 873,314
44 45 44 2022
28
Population - market size (millions) 19,83
2022
Gross Domestic Product (GDP) (US$ billions) 300,7 39
2022
CHALLENGES IN 2023 GDP (PPP) per capita (US$) 29.024 48
• Improve public security by strengthening police work and 2022
Real GDP growth (%) 2,4 52
ensuring the rule of law. 2022
• Close the constitutional reform process with a wide societal Consumer price inflation (%) 11,65 48
agreement. 2022
Unemployment rate (%) 7,86 53
• Reach a broad agreement on tax and pension reforms to 2022
reduce uncertainty. Labor force (millions) 9,62 29
• Increase productivity through training programs in new Current account balance (% of GDP) -9,01
2022
61
technologies and artificial intelligence. 2021
• Improve the quality and pertinence of education at all levels. Direct investment stocks inward ($bn) 180,5 33
2021
Direct investment flows inward (% of GDP) 4,81 15

PROVIDED BY: Universidad de Chile, Facultad de Economia y

Negocios (FEN)

COMPETITIVENESS LANDSCAPE
Economic Performance Government Efficiency Business Efficiency Infrastructure
Technological Infrastructure
International Investment

Productivity & Efficiency

Institutional Framework

Scientific Infrastructure
Management Practices

Health & Environment

Business Legislation

Societal Framework

Basic Infrastructure
International Trade
Domestic Economy

Attitudes & Values

Public Finance

Labor Market
Employment

Tax Policy

Education
Finance
Prices

18 15
28 28 30 28 30
38
42 41 41 44
48 50 47 49
53 54
58 58

PEER GROUPS RANKINGS

THE AMERICAS (9 countries) POPULATIONS < 20 MILLION (37 countries)

2019 2020 2021 2022 2023 2019 2020 2021 2022 2023

24
26 26
3 3 3 3 3 27
28

2
 Chile
Competitiveness Evolution & Attractiveness Indicators

COMPETITIVENESS EVOLUTION
The criteria below highlight the 15 biggest Improvements and the 15 biggest Declines in the overall performance of the
economy. They are determined by the largest percentage changes in the value of each criterion from one yearbook to
the next.

2022 2023 2022 2023

IMPROVEMENTS WCY WCY DECLINES WCY WCY
2.1.02 Government budget surplus/deficit (%) -7,52 1,33 1.5.01 Consumer price inflation 4,52 11,65

4.5.09 Student mobility inbound 0,38 0,66 1.1.15 Real GDP growth per capita 10,42 1,47

4.4.09 Medical assistance 1.616,52 449,70 1.1.14 Real GDP growth 11,7 2,4

1.2.13 Exports of commercial services (%) 2,07 3,20 1.1.13 Economic complexity index -0,11 -0,20

2.3.08 Exchange rate stability 0,113 0,058 1.2.02 Current account balance -6,40 -9,01

2.5.04 Risk of political instability 2,69 3,98 4.1.07 Population - growth 1,13 0,77

1.2.12 Exports of commercial services ($bn) 6,56 9,63 2.3.07 Foreign currency reserves per capita 2.605 1.972

3.4.11 Women in management 26,45 37,50 2.5.02 Homicide 3,93 4,84

1.4.04 Employment - long-term growth -11,71 -8,58 1.1.18 Gross fixed capital formation - real growth 17,58 13,58

3.2.15 Labor force - long-term growth -8,21 -6,03 4.2.15 High-tech exports (%) 15,80 12,44

1.2.25 Tourism receipts 0,16 0,20 2.2.02 Collected personal income tax 1,98 2,40

4.5.08 Women with degrees 25,6 31,9 2.4.07 Government subsidies 1,09 1,29

4.1.04 Access to water 5,67 6,98 2.4.11 Parallel economy 4,33 3,63

1.4.10 Youth exclusion 20,9 16,3 3.3.17 Venture capital 4,73 3,98

4.3.20 Scientific research legislation 4,15 5,03 2.1.09 Pension funding 4,96 4,21

KEY ATTRACTIVENESS INDICATORS

From a list of 15 indicators, respondents of the Executive Opinion Survey were asked to select 5 that they perceived as
the key attractiveness factors of their economy. The chart shows the percentage of responses per indicator from the
highest number of responses to the lowest.

Access to financing 64.2%

Reliable infrastructure 53.7%
Effective legal environment 51.6%
Policy stability & predictability 45.3%
Quality of corporate governance 43.2%
Business-friendly environment 42.1%
Dynamism of the economy 33.7%
Effective labor relations 30.5%
Cost competitiveness 28.4%
Competitive tax regime 25.3%
High educational level 22.1%
Skilled workforce 18.9%
Open and positive attitudes 11.6%
Strong R&D culture 6.3%
Competency of government 6.3%

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WORLD COMPETITIVENESS
DIGITAL RANKING 2022

All data are available from the

World Competitiveness Online.

Visit our eShop

4
DIGITAL TRENDS - OVERALL

CHILE
OVERALL PERFORMANCE (63 countries)
Overall Factors
Alpha AlphaLabel Beta BetaLabel Gamma GammaLabelSub-Factors
1 2 2 2 2 2 2
4 4 4 2 2
6.5 4 4 2 2
8.5 4 50
4 2 2 39 54 55
10.5 4 4 2 2

Talent Training & education Scientific concentration

Knowledge

41 41 41 43 36

Regulatory framework Capital Technological framework

Technology

33 26 43 34
The direction of the triangle indicates the
performance change from the last year: Adaptive attitudes Business agility IT integration
 improved or stable Future readiness
declined

OVERALL & FACTORS - 5 years 2018 2019 2020 2021 2022

OVERALL 37 42 41 39 41

Knowledge 47 50 49 49 50

Technology 35 41 40 35 41

Future readiness 31 37 39 36 33

COMPETITIVENESS & DIGITAL RANKINGS

2018 2019 2020 2021 2022

Digital
Competitiveness 35
38
37 39
N.B. This graph provides only a 42 41 41
comparison of the country’s performance
in the two rankings.
44 45

PEER GROUPS RANKINGS

THE AMERICAS (9 countries) POPULATIONS < 20 MILLION (36 countries)

2018 2019 2020 2021 2022 2018 2019 2020 2021 2022

24
25 25
3 3 3 3 3 26 26

5
 FACTORS BREAKDOWN - STRENGTHS AND WEAKNESSES

u Overall Top
u Overall top strengths

Overall Top
w Overall
Strengths

top weaknesses
CHILE
w Weaknesses

KNOWLEDGE

Sub-Factors 2018 2019 2020 2021 2022

Talent 31 36 37 36 39
Training & education 49 55 49 51 54
Scientific concentration 61 57 58 57 55

Talent Rank Training & education Rank Scientific concentration Rank

Educational assessment PISA - Math 47 w Employee training 56 Total expenditure on R&D (%) 53
International experience 18 Total public expenditure on education 23 Total R&D personnel per capita 48
u Foreign highly-skilled personnel 12 Higher education achievement 46 Female researchers 33
w Management of cities 55 Pupil-teacher ratio (tertiary education) - R&D productivity by publication 20
Digital/Technological skills 31 Graduates in Sciences 45 Scientific and technical employment 38
Net flow of international students 45 Women with degrees 47 w High-tech patent grants 59
Robots in Education and R&D 44

TECHNOLOGY

Sub-Factors 2018 2019 2020 2021 2022

Regulatory framework 33 36 33 33 41
Capital 26 44 40 38 43
Technological framework 41 42 44 36 36

Regulatory framework Rank Capital Rank Technological framework Rank

Starting a business 30 w IT & media stock market capitalization 53 Communications technology 26

Enforcing contracts 37 Funding for technological development 52 Mobile Broadband subscribers 32
u Immigration laws 09 Banking and financial services 25 Wireless broadband 41
Development & application of tech. 52 Country credit rating 32 Internet users 41
w Scientific research legislation 58 Venture capital 44 Internet bandwidth speed 25
Intellectual property rights 48 u Investment in Telecommunications 18 High-tech exports (%) 26

FUTURE READINESS

Sub-Factors 2018 2019 2020 2021 2022

Adaptive attitudes 27 27 22 24 26
Business agility 39 50 54 54 43
IT integration 38 39 40 39 34

Adaptive attitudes Rank Business agility Rank IT integration Rank

E-Participation 27 Opportunities and threats 25 E-Government 31

Internet retailing 34 World robots distribution 48 Public-private partnerships 23
Tablet possession 34 Agility of companies 26 Cyber security 42
u Smartphone possession 06 Use of big data and analytics 45 Software piracy 47
Attitudes toward globalization 19 Knowledge transfer 52 u Government cyber security capacity 18
Entrepreneurial fear of failure 32 Privacy protection by law content 36

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WORLD TALENT
RANKING 2022
All data are available from the
World Competitiveness Online.

Visit our eShop

7
Talent Ranking 2022

CHILE
OVERALL PERFORMANCE (63 countries)
The direction of the triangle indicates
Alpha the
AlphaLabel Beta BetaLabel Gamma GammaLabel
performance change from the last year: 2018 2019 2020 2021 2022
1 2 2 2 2 2 2
 improved or stable
4
declined 4 4 2 2 23
50
28
30 30
Investment &
Overall
Development 34
35
Investment &
47 28 Development
Appeal 41
43
Appeal Readiness
46 46
47
48 48
50 50
47
55

58
Readiness

INVESTMENT & DEVELOPMENT Value 2022 Rank

u Total public expenditure on education Percentage of GDP 5.5 % 20
Total public exp. on education per student Spending per enrolled pupil/student, all levels 3,138 US$ 42
Pupil-teacher ratio (primary education) Ratio of students to teaching staff 18.63 ratio 51
w Pupil-teacher ratio (secondary education) Ratio of students to teaching staff 19.77 ratio 54
Apprenticeships are sufficiently implemented 4.85 Survey [0..10] 40
w Employee training is a high priority in companies 4.74 Survey [0..10] 56
Female labor force Percentage of total labor force 41.38 % 49
Health infrastructure meets the needs of society 4.36 Survey [0..10] 47

APPEAL Value 2022 Rank

Cost-of-living index Index of a basket of goods & services in the main city, including housing (New York City = 100) 71.70 index 23
Attracting and retaining talents is a priority in companies 6.36 Survey [0..10] 44
Worker motivation in companies is high 5.31 Survey [0..10] 41
Brain drain (well-educated and skilled people) does not hinder competitiveness in your economy 5.33 Survey [0..10] 27
Quality of life is high 6.24 Survey [0..10] 39
u Foreign highly-skilled personnel are attracted to your country's business environment 6.85 Survey [0..10] 12
Remuneration in services professions Gross annual income including supplements such as bonuses, US$ 23,844 US$ 30
Remuneration of management Total base salary plus bonuses and long-term incentives, US$ 180,102 US$ 26
u Collected personal income tax On profits, income and capital gains, as a percentage of GDP 1.98 % 12
Justice is fairly administered 5.37 Survey [0..10] 37
Exposure to particle pollution Mean population exposure to PM2.5, Micrograms per cubic metre 23.68 micrograms 49

READINESS Value 2022 Rank

u Labor force growth Percentage change 3.42 % 9
Skilled labor is readily available 4.30 Survey [0..10] 48
Finance skills are readily available 6.00 Survey [0..10] 36
u International experience of senior managers is generally significant 6.00 Survey [0..10] 18
Competent senior managers are readily available 5.21 Survey [0..10] 35
w Primary and secondary education meets the needs of a competitive economy 4.12 Survey [0..10] 52
Graduates in Sciences % of graduates in ICT, Engineering, Math & Natural Sciences 21.41 % 40
University education meets the needs of a competitive economy 5.61 Survey [0..10] 43
Management education meets the needs of the business community 6.57 Survey [0..10] 32
w Language skills are meeting the needs of enterprises 3.52 Survey [0..10] 60
w Student mobility inbound Foreign tertiary-level students per 1000 inhabitants 0.66 number 51
Educational assessment - PISA PISA survey of 15-year olds 438 Average 41

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