The most attractive countries for investors in Latin America

Chile
Since the 1970s, the country has been actively attracting foreign investment. Non-resident investors can take advantage of Decree-Law 600, which sets the same rules for them as for local investors and offers many benefits. For example, Chile's highest corporate tax rate is 27%.

A 2004 trade agreement between the countries set Chilean tariffs at 6% on most goods. In the first year of the agreement, imports increased by 30%, prompting Chile to sign subsequent trade agreements with Canada, Mexico, China, Japan, the European Union, South Korea, Brunei, New Zealand and Singapore. Chile is now actively implementing bilateral trade agreements.

Colombia
Colombia's largest trading partner is the United States, which accounts for most of the country's exports and imports. In 2017, exports from Colombia to the United States amounted to $19.6 billion.

Despite the lack of a technologically advanced economy, Colombia can benefit from the demand for commodities. It is one of the top 20 oil exporters in the world, and in 2019 it exported approximately 616 barrels of crude oil per day.

Now this tax is 30%. The new tax legislation, passed in December 2018 and enacted on January 1, 2019, offers tax incentives to stimulate investment, economic growth and employment.

Peru
Until a decade ago, three out of five Peruvians were considered poor. But according to the World Bank, Peru can tackle poverty faster than previously thought. From 2005 to 2013, the poverty rate (the percentage of the population living on $5.50 a day) fell from 52.2% to 26.1%. 6.4 million people are no longer poor. 

In 2006, the U.S. and Peru signed a Trade Facilitation Agreement. Duties on 80% of Peru's industrial exports were abolished, and the tax on other goods was planned to be phased out by 2016. Tariffs on agricultural exports were also reduced.

Unlike Colombia and Chile, Peru's main trading partner is China. The U.S. is in second place, with a slight lag. However, the country's economy has been severely affected by the effects of the pandemic. Persistent inequality, overpopulation, and a predominantly informal economy have led to a 30% drop in the country's GDP.

Mexico
Mexico has signed the most famous trade deal of recent years, the North American Free Trade Agreement (NAFTA), which also applies to Canada and the United States. The country is part of the largest trading bloc in the world.

The United States accounts for about 46.59% of Mexican imports and 76.49% of exports. Since the conclusion of NAFTA, the volume of trade between the U.S. and Mexico has more than quadrupled. At the same time, remittances account for a disproportionately large part of transactions. Expats sending money through Western Union cannot provide a sustainable and strong economy. However, it seems that the country has already recovered from the effects of the 2009 recession, when Mexico's economy lost 6%.