In the Official Gazettes of May 10 and 12, 2000, the Central Bank of Chile published several amendments to the Compendium of Rules on Foreign Exchange Operations, which may be summarized as follows:
1. Elimination of the one-year mandatory permanence term for foreign capital contributions and investments.
As of May 12, 2000, funds brought into the country in the form of capital contributions or to carry out investments in Chile may be freely repatriated at any time without being subject to any minimum term of permanence.
2. Amendments to Chapter VI of the Compendium, which regulates derivatives transactions carried out with individuals or entities domiciled abroad.
(a) Chapter VI now includes derivatives transactions related to Chilean pesos or "Unidades de Fomento" (a Chilean inflation-indexed, peso-denominated monetary unit, which is set daily in advance based on changes on the previous month’s inflation rate). Since these derivatives operations are now regulated under Chapter
