The vibrant economy of Chile is basically supported by its high level of export import trade. The economic reputation of Chile was reinforced when the democratic government led by Patricio Aylwin, which took power from the military in the year 1990 expanded upon the economic change started by the military regime. Chile witnessed significant economic growth during 1991-1997, with its average GDP growing around 8% during the same period. However, the GDP fell down to half of the level achieved during that period in the year 1998 mainly due to the rigid monetary policies adopted by the government to keep in check the growing trade deficit and also to counter the lower earnings from export. The economy of Chile bounced back and has witnessed the growth between 5 to 7% in the recent years.
In 2007, the GDP of Chile was US$ 163.88 billion, and it grew by 3.48% in the following year. The Chile’s GDP recorded for the year 2008 was US$ 169.573 billion. Chile stands at 49th position in the world rankings as far as the GDP of the countries across the world is concerned in the year 2008. Its recorded GDP for 2008 is above the world’s average. In 2009 it is expected to go down by 19.9% in comparison to the figures attained in 2008 and is forecasted to be around US$ 135 billion.
Chile is listed at No.61 in the world based on GDP per capita in 2008. It recorded figures of US$ 10,123.82 for GDP per capita in the year 2008 which exceed the world’s average. It grew by 2.45% from the previous year and is expected to be around US$ 7994 in the year 2009 which is less than 21.04% from the figures recorded in 2008.
The Global Competitiveness Report issued during the financial year 2007-08 lists Chile in the 26th position among the most competitive countries across the world and first among the countries of Latin America. It is ranked well above the other prominent countries of the region like Mexico, Brazil and Argentina. The index constituted by World Bank for ease of doing business ranks Chile at the 33rd position in the globe.
The major contribution to its GDP comes from a service sector. The other important sectors include industrial and agricultural. The major industries of Chile include iron and steel, fish processing, foodstuffs, copper and other major minerals, transport and related equipment, products made from wood, textiles, building and cement. Chile is also famous for its agricultural products like sugar, fruit, corn, wheat, beans, potatoes, beef, wool, fish and poultry.
The major exports from Chile include paper, wood, fruits, fish, chemicals and related products, wine and copper and other minerals. The major countries that import goods from Chile include Brazil, China, Netherlands, Italy, Japan, United States of America, Mexico and South Korea.
The main products Chile imports include motor vehicles, fuels, consumer goods, chemicals, heavy industrial and electrical machinery, and food products. The major countries that export goods to Chile include Brazil, United States of America, Argentina, India and China.
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