World Bank Group Opens New Joint Office in Chile

For more than 75 years, the World Bank Group (WBG) has collaborated with Chile to develop innovative solutions to complex challenges in key areas for the country's progress. The knowledge gained through this work is being shared with several countries.

Today marks the beginning of a new phase in this long history of collaboration. For the first time, the WBG is opening a joint office in Chile. This new structure will unify the leadership of the World Bank, which works with the public sector; the International Finance Corporation (IFC), which works with the private sector; and the Multilateral Investment Guarantee Agency (MIGA), which provides guarantees to investors and lenders.

“Our aim is to use this new structure to enhance our ability to address global challenges and drive development with speed, efficiency, and impact in the country,” explained Jean-Marc Arbogast, WBG Country Manager in Chile.

Promoting public-private collaboration

Chile has a proven track record of making progress along the path to development, both in terms of economic growth and poverty reduction. A robust private sector, supported by an enabling environment for investment, has been instrumental in this achievement. In recent years, however, growth has slowed, and productivity and equity progress have stagnated.

“Collaboration is key to achieving development. Governments must drive reforms, the private sector must invest, and our institution stands ready to provide financing, international expertise, technical support, and good practices, and to promote accountability,” said Mr. Arbogast.

He added that the WBG is working to end poverty and reduce inequality, and that the most effective way to do so is through jobs. “Creating quality jobs is one of the stated objectives of our work. We want to help workers be more productive, secure better conditions, and lift themselves out of poverty,” he said.

To address this challenge, the WBG is working in three areas:

• Establishing preconditions for employment, such as health, education, and infrastructure.
• Building strong governance, as well as policies and regulations, that will be conducive to doing business.
• Mobilizing private capital, supporting business growth and job creation.

A track record of knowledge and innovation

The first projects supported by the WBG in Chile targeted the development of infrastructure in key areas for the economic growth that the country experienced in the ensuing decades, such as mining, energy, roads, ports, and water and sanitation.

Very early on, work began on pioneering projects to support human development in Chile, mainly in the areas of primary, secondary, and tertiary education, and in the development of science and innovation.

In the area of social protection, the WBG has supported the design and implementation of important programs that have contributed to the impressive reduction of poverty rates in Chile and have served as an example for many countries around the world. The WBG has also provided support for the financial inclusion of women, the elderly, and small and medium enterprises.

In the area of sustainable development, the WBG is engaged in pioneering work with Chile to address climate challenges and help the country achieve its emission reduction targets. Initiatives include the water transition program, green hydrogen industry development, electromobility in public transport, and renewable battery energy storage.

Through this collaboration, the WBG has learned important lessons that can be shared with other countries facing similar development challenges. The opening of the new joint office is an opportunity to strengthen public-private collaboration and help Chile move toward more sustainable and inclusive development.