ANNOUNCEMENT 07 Jul 2015In July 2015, the government of Chile announced a change in private-sector financial support.
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Ministerio de Economia, Formento y Turismo (2015).Ministro C?spedes lanza nuevos fondos de inversi?n para emprendimiento en etapa temprana.
On 7 July 2015, the government of Chile announced the launch of the program Fondos de Etapas Tempranas Tecnológicas ("Early Stage Technology Fund", FET). The new program will be implemented by the Chilean Economic Development Agency (CORFO).
The purpose of FET is to support the financing of innovative technology projects that are in the early stages of their development. To this end, CORFO shall establish credit lines with private venture capital firms who ultimately finance eligible projects.
The services FET provides to private venture capital firms are threefold:
In its first year of operation, FET targets to engage 10 venture capital firms with an average credit line of USD 16,000,000 (the maximum size of each fund is $25 million). The projects eligible for FET funds shall range between values of USD 25,000 to USD 1,500,000.
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries