Chilean Right Wing Starts Codelco Privatization Debate

Carving Up the Sacred Cow

What happened: Leaders of Chile’s right-wing parties are calling for the government to open the state copper giant Codelco up to privatization.

Why it matters: Long a sacred cow in Chile, even a partial privatization of Codelco would represent a seismic shift for Chilean politics and society.

What happens next: Expect a protracted debate as Chile faces up to the realities of a debt-laden Codelco, leading to an asset sale and a new round of joint ventures with private capital.