This report provides information relevant to bidding on an international investment project. The investment project that is the focus of this report is Inter-American Development Bank (2004) Project CH0174: Rural Electrification Program. The project is a development project in Chile.
This report includes relevant information on Chile, which is presented in the following section. Relevant information on Project CH0174 is presented following the discussion of Chile. Lastly, information relevant to the project bidding procedure is presented.
Since the 1960s, the economy Chile has been up and down more than a yo-yo. The state of the Chilean economy has ranges from the depths of chaos to growth to stable. The Chilean economy today appears to be in a period of stable growth as the country pursues membership in hemispheric-wide trading bloc that will encompass most of North America, South America, and the Caribbean. There exists, however, considerable skepticism and opposition to the proposed trade agreement in almost all of the countries that could become partners in such a pact. Although the Chilean economy appears to be stable today, the recent past has been characterized by inconsistent performance and (2) havoc stemming from policies of the International Monetary Fund (IMF) especially and the World Bank to a (Tracinski, 2002; Duquette, 1998).
The chronic instability that characterizes the economies of Latin America is such that one should assess their performance over a relatively long period in order to drawn sensible conclusions (Peek & Rosengren, 2001). Even then, predicting the future for these economies is a risky venture.
Chile currently has one of the more prosperous economies in South America, as well as one of the most politically stable governments in South America. Chile, however, also is a multiparty state that experienced a great deal of instability during the twentieth century both in its economic env...