Chile Continues to Move Forward Plans to Scrap Copper Law

Chile's Senate Finance Committee has approved changes to the Ministry of Defence's (MoD's) funding regulations on 7 January, the MoD has announced. The proposed bill will establish a new form of financing for the Chilean military's strategic procurement programmes, which are currently funded through the controversial ley reservada del cobre...

Chile's Senate Finance Committee has approved changes to the Ministry of Defence's (MoD's) funding regulations on 7 January, the MoD has announced.

The proposed bill will establish a new form of financing for the Chilean military's strategic procurement programmes, which are currently funded through the controversial ley reservada del cobre (restricted law on copper). Under the law, 10% of revenues from state-owned copper mining company CODELCO are levied and have been historically used for military procurement.

While transparency of the law and the amount of the allocation has been lacking, an insight was gained in late 2016 when the full text was officially revealed for the first time.

Source: www.janes.com