Bilateral Investment Flows between Chile and Peru

Abstract

Chile and Peru have followed very active international economic integration processes, establishing a wide network of trade and investment agreements, which leads them to face common challenges and opportunities for the future of their international economic relations. The strong growth of trade and capital flows between both countries in recent years has created opportunities for cooperation and mutual benefits. Likewise, the signing of various legal instruments that promote and give certainty to this relationship has strengthened the bilateral interactions in trade and investment. The future of Chilean-Peruvian trade and investment relations should allow both countries to create positive working agendas to achieve higher goals. Possibly, one of the more positive spaces for bilateral relations between Chile and Peru is the economic area.The present research contains a brief explanation of the Chile’s and Peru’s regulatory frameworks, explaining the investment and trade – related clauses included in the Peru – Chile Free Trade Agreement,in force since 2009. FDI flows and stocks of both countries are presented together with an analysis of the perceptions about the current bilateral investment relation.