ANNOUNCEMENT 15 Feb 2021

In February 2021, the Chilean government launched the first stage of a new subsidy programme to support two hard-hit economic sectors in the context of the COVID-19 pandemic.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Ministerio de Economía, Fomento y Turismo. Ministry of Economy, Development and Tourism. Press release. "Ministerio de Economía anuncia primer llamado a subsidios para el turismo y la industria creativa por $55 mil millones". 15/02/2021. Available at: https://www.economia.gob.cl/2021/02/15/ministerio-de-economia-anuncia-primer-llamado-a-subsidios-para-el-turismo-y-la-industria-creativa-por-55-mil-millones.htm

Inception date: 15 Feb 2021 | Removal date: open ended

Financial grant

On 15 February 2021, the Ministry of Economy, Development and Tourism of Chile launched a new CLP 55 billion (approx. USD 76.5 million) programme to support companies in the tourism and creative industry sector. 

The support will be granted in the form of subsidies or grants. During this first stage of the programme, CLP 50 billion (approx. USD 69.5 million) will go to the tourism sector, whilst the remaining CLP 5 billion (approx. USD 7 million) will go to the culture and art sectors. According to the estimates of the Chilean government, the support is expected to reach over 20 000 businesses. No restrictions in terms of the size of the undertaking were announced.

In this context, the Chilean Minister of Economy, Lucas Palacios, highlighted that “it is the first time that so many resources are allocated to specific sectors that are extraordinarily hit, and this was done because 2021 is the year of economic recovery” (own translation).

A state act in the GTA database is assessed solely in terms of the extent to which its implementation affects foreign commercial interests. On this metric, the support granted here is discriminatory.

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