MercoPress. South Atlantic News Agency

Spain main investor in Chile.

Spain has consolidated as the main foreign investor in Chile totalling over 14 billion US dollars with major undertakings in public utilities, (electricity, waterworks, gas distribution), telecommunications, financial services and over fifty small and medium sized companies.

"Almost every day some new investment is announced and we're talking of projects in all areas of the economy", indicated Tomas Pablo Roa, head of the Chilean Promotion and Production corporation office in Europe which includes Spain.

"Spanish companies are redirecting their Latinamerican investments to Chile because it's the most stable and dynamic market of the region", said Mr. Roa.

Spanish investment operations in Chile during the first half of this year total 3,4 billion US dollars with a 221% increase in the last twelve months.

Instability in Argentina and Brazil plus Mexico's political reluctance in adopting structural and legislative reforms have turned Chile in the main magnet for Spanish investors.

"Chile's economy has expanded 4,9% in the first six months of the year, inflation is under control, tariffs are amongst the lowest in the world and the Chilean banking system is considered the most solid in South America", underlined Mr. Roa.