Page 1

KPMG IN CHILE

Why invest in Chile? www.kpmg.cl


Why invest in Chile? Social and economic stability

WORLD COMPETITIVENESS YEARBOOK 2012

• Sustained economic growth at a steady pace since the early 1990s. • Positive trend in the most relevant indicators about production, wages, jobs, GDP, and inflation.

0 10 20 30 40 50

• Highest per capita income in the region. GDP ANNUAL GROWTH 8 7 6 5 4 % 3 2 1 0 -1 -2

7,0

4 18

Hong Kong

USA

Singapore United Kingdon

28

29

Chile

France

44

46

Perú

Brazil

GLOBAL COMPETITIVENESS REPORT 2011-2012 0 10 20 30 40 50 60

1

2

3

5

10 31

Switzer- Singa- Sweden land pore

USA

United Kingdon

36

Chile

Spain

53

58

Brazil

México

Source: World Economic Forum 2012

6,2

6,1

5,7

5,2

6,0 4,8

3,3

-1,0 2004

2

Source: Source: Institute for Management Development 2012

• One of the most competitive economies in the region and one of the most sophisticated and efficient financial markets. • Prominent position in all the rankings related to the “quality of life”.

1

2005

2006

2007

2008

2009

2010

2011

2012

CHILE’S SOVERING RATINGS Aaa Aa1 Aa2 Aa3 A1 A2

AAA AA+ AA AAA+ A

Aa3

Source: Central Bank of Chile, 2012

Moody’s

AAA AA+ AA AAA+ A

A+

Standard & Poor’s

A+

Fitch Ratings

Source: Rating Agencies, 2012

ANNUAL INFLATION EVOLUTION 10 8,0 6,0 % 4,0 2,0 0 -2,0

STAGE OF DEVELOPMENT

9,5

3,6 1,0

Transition 1-2

Factor driven

3,9

2,7

1

3,2

3,4

1,9

2

Transition 2-3

Efficiency driven

3 Innovation driven

2,6 Institutions 7

2003

2004

2005

2006

2007

2008

2009

-1,0 2010

Innovation 2011

2012

Source: Central Bank of Chile, 2012

5

Business sophistication

4

4

Infrastructure Macroeconomic environment

3

UN HUMAN DEVELOPMENT REPORT 2011 2

6

2

23

28

44

45

Market size

Health and primary education

1

57 84

Australia

USA

Spain

United Kingdon

Chile Argentina México

Brazil

Technological readiness

Higher education and training

Source: World Economic Forum 2012

Financial market development

Chile

Labor market efficiency

Goods market efficiency

Economies in transition from 2 to 3


GLOBAL COMPETITIVENESS REPORT 2011-2012 6,0

5,9

5,6

5,3

Strategic Location 4,6

4,6 3,6

USA

Chile

Brazil

Perú

Colombia

México Argentina

Source: World Economic Forum 2012

Stable institutional framework • Respect for the democratic values.

• Privileged location in South America, bordered by Argentina, Bolivia and Peru. Four main geographic areas with different economic activities.

• Low corruption level. • Most reliable police services in Latin America. • High judicial independence. • High confidence in the political system.

Technology leadership

• Strong safeguards for investment contracts.

• Chile is positioned highest amongst the emerging economies with maximum impact on development of Information Technologies and Communications.

• The protection of copyrights, trademarks and patents is specifically legislated.

MOBILE PHONE SUBSCRIPTIONS

CORRUPTION PERCEPTION INDEX

(per 100 hab)

(1: maximim perception; 10 void perception)

10,0 9,0 8,0 7,0 6,0 5,0 4,0 3,0 2,0 1,0

9,5

7,2

150 125 100 75 50 25 0

7,1

3,8

3,4

3,4

3,0

3,0

142

130 116

Argentina

United Kingdom

Chile

100

94

90

80

Brazil

Perú

Colombia

USA

México

Source: World Economic Forum 2012

New Zeland

Chile

USA

Brazil

Perú

Colombia

México Argentina

INTERNET USE (per 100 hab)

Source: Transparency International, 2011

TRANSPARENCY OF GOVERNMENT POLICYMAKING 2012 7,0 6,0 5,0 4,0 3,0 2,0 1,0

104

6,3 5,3

Singapore

Chile

4,5

USA

4,4

Perú

4,3

Colombia

4,2

México

Source: World Economic Forum 2012

4,1

Brazil

100 80 60 40 20 0

3,3

95

94 79 45

40

36

34

Chile

Brazil

Argentina

Perú

7 Iceland

Colombia

USA

India

Source: World Economic Forum 2012

AVAILABILITY OF LATEST TECHNOLOGIES

Argentina 7,0 6,0 5,0 4,0 3,0 2,0 1,0

6,9

Sweden

6,3

USA

6,0

Chile

5,4

Brazil

5,1

Perú

4,8

4,8

Argentina Colombia

Source: World Economic Forum 2012

4,1

Russia


Investor´s benefits

STRENGTH OF INVESTOR PROTECTION

• Promotion of private investment projects with several tax exemptions, and double taxation avoidance agreements in force with 24 countries. • There are no restrictions on capital flows.

0 25 50 75 100 125 150

• Member of the OECD since 2010.

1

20

28

36 77

93

100

Brazil

Luxembourg

131 New Zeland

Perú

Chile

México

China

Source: World Economic Forum 2012

• Accounting and auditing principles aligned with international practice. • 22 trade agreements with 59 countries, including Free Trade Agreements with main trading partners. • Flat-rate tariff of 6% on imports from other countries.

EASE OF CUSTOMS PROCEDURES 7,0 6,0 5,0 4,0 3,0 2,0 1,0

6,0

5,5 4,4

4,3

4,1 3,1

Finland

Chile

Perú

USA

México

Brazil

2,7

Argentina Venezuela

High quality of life

• 52% of the workers have technical or college education, ranked first in Latin America.

• Excellent scores on environmental performance.

• Literacy: 96,5 % of the population.

• Health Coverage: 1.8 doctors per 1000 inhabitants.

• Education rate: 94.9 per 100 inhabitants.

• Birth life expectancy: 78,7 years.

• High flexibility of wage determination.

• Infant mortality: 7/1000 births.

EDUCATION

• Drinkable water and sanitary drainage access: 95% of the total population.

(per 100 hab)

97

Argentina

Ireland

Chile

94

Brazil

92

Colombia

92

USA

Source: UNESCO 2010

ACCESS TO UNIVERSITY DEGREES (per 100 hab)

68

62

58

52 34

Spain

Argentina

Canada

Source: UNESCO 2010

2,3

Source: World Economic Forum 2012

Skilled workforce

94

Switzerland

Japan

Chile

Brazil

LIVING COST INDEX 0 25 50 75 100 125 150 175

10°

27°

32°

51°

63°

75°

148°

156°

Tokio, Moscow, S. Pablo, Paris, New Caracas, Bogota, Santiago, México Buenos Japan Russia Brazil France York, USA Vene- Colombia Chile City, Aires, zuela México Argentina Source: Mercer 2012


At KPMG we create value based on the knowledge and experience of our professionals, for the benefits of our clients, our people, and our community

AUDIT The independent audit is one of the key aspects to give assurance about the accounting information used by third parties. Our main professional responsibility is to examine financial statements and issue an opinion about its fair presentation. We also provide a wide range of services related to the internal audit function. TAX SERVICES Our tax services include, among others, the review and preparation of tax filings, the assessment of the company’s tax situation, the analysis of the tax effects of particular transactions, and the permanent tax advisory work. OUTSOURCING We provide this service in accounting, tax, legal, internal audit and payroll. LEGAL AND NOTARY SERVICES With our legal and notary services we provide, not only our legal technical knowledge but also our support in the implementation of transactions through creative solutions in the following disciplines: Commercial Law, Labor Audit, Contractual Arrangements and Public Biddings and Lawsuits. MANAGEMENT ADVISORY SERVICES Our management advisory services help clients to design, plan, and implement their business strategy, and the processes that allow them to adapt to changes in the environment, helping them to keep and improve their competitive position. FINANCIAL ADVISORY SERVICES Our financial advisory services include, among others, helping our clients with business valuation, asset appraisals, mergers and acquisitions, financial restructuring transactions, due diligence and business plan preparation. ECONOMIC ADVISORY SERVICES Our services in this area consist of business cycle analysis, industrial analysis, and company’s management key variables. Also, we have a wide experience in the project preparation and evaluation, including those aimed to achieve the national interest that will allow the client to receive tax benefits. HUMAN RESOURCES We want to be your Strategic Partner in putting into practice a proper human capital management, aligning them to the business strategies. The services provided in this area range from the staff search and selection to change management and the human resources performance evaluation. INFORMATION TECHNOLOGY (IT) ADVISORY SERVICES The planning, implementation, and operation of IT systems requires a permanent management control. At KPMG, we assist management in this task, providing them with methodologies and skilled staff. Our professionals are able to support our clients in the use technology helping to reduce the security threats.


KPMG en Chile Santiago Isidora Goyenechea 3520 Piso 13 Las Condes T: +56 2 798 1000 E: mail@kpmg.com Viña del Mar Avenida Libertad 269 of. 1201 Piso 12 Torre Libertad T: +56 32 297 3581 Concepción O’Higgins 940 of. 504 T: +56 41 286 1852

www.kpmg.cl /kpmgchile

@kpmgchile

© 2012 KPMG International. KPMG International Cooperative (“KPMG International”), es una entidad suiza. Las firmas miembros de la red de firmas independientes de KPMG están afiliadas con KPMG International. KPMG International no provee servicios a clientes. Ninguna firma miembro tiene autoridad para obligar o comprometer a KPMG International ni a ninguna otra firma miembro con respecto a terceros, ni KPMG International tiene autoridad para obligar o comprometer a ninguna firma miembro. Todos los derechos reservados. Impreso en los EE.UU. El nombre y logo de KPMG y “cutting through complexity” son marcas registradas de KPMG International.

2012-09-kpmg-advisory-invest-in-chile  
Read more
Read more
Similar to
Popular now
Just for you