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IDB supports the institutional modernization of Chile’s State Defense Council

Loan for $2.3 million will improve management of tax proceedings and quality and conduct of legal actions

Inter-American Development Bank (IDB) approved a $2.3 million loan for the institutional modernization of Chile’s State Defense Council (CDE) to improve its effectiveness, quality, and performance in carrying out legal proceedings.

The CDE is the public agency that defends, represents, and provides legal advice to the Chilean state as regards its proprietary and non-proprietary interests.

The overall goal of the CDE program is to increase the effectiveness of legal defense of the interests of the Chilean state through actions to improve the management of tax proceedings, the quality of legal action by CDE lawyers, and management of information and support provided to the CDE.

The program will focus on three areas:

  • Strategic management and knowledge: Generate actions and products aimed at improving strategic management of the CDE to develop institutional incentives for improving the quality of its work.
  • Support for substantive work: Improve the effectiveness of the management of strategic CDE products. This will include re-engineering the management systems for proceedings, collections, legal assistance, and implementation of new processes, among others.
  • Development of support systems: Carry out actions and produce products to improve the effectiveness of CDE’s substantive work, especially in the areas of personnel management, budget management, and information for decision making.

The IDB loan is for a period of six years with a grace period of 4.5 years and an interest rate based on LIBOR. The executing agency is the State Defense Council of Chile and local counterpart funding will total $906,100.