The Mexico-Chile Joint Cooperation Fund

1. The Mexico-Chile Joint Cooperation Fund Partners Secretariat of Foreign Affairs of Mexico Chilean International Cooperation Agency

2. The Mexico-Chile Joint Cooperation Fund Background Due to the existence of close political, economic and cooperation relations between Mexico and Chile, and the political will to reinforce the bilateral relations, the Presidents of both countries subscribed in 2006 a Strategic Association Agreement. In addition to its political and trade aspects, this Agreement included the creation of the Mexico-Chile Joint Cooperation Fund, under the principles of reciprocity, common interest and complementarity.

3. The Mexico-Chile Joint Cooperation Fund Objectives Innovation Develop capacities and strengthen institutions in areas identified as priority for Mexico and Chile, such as science and technology, education and culture. Identify areas of cooperation in which Mexico and Chile share skills and interests for the benefit of third countries. Financing programs and projects of bilateral and trilateral cooperation through an annual joint budget of 2 million dollars. The Mexico-Chile Fund is an innovative mechanism in South-South Cooperation: first Bilateral Joint Cooperation Fund in Latin American and the Caribbean. The Fund promotes horizontal partnership and mutual accountability as well as exchange of local solutions to development problems and capacity development. The Fund has experienced a constant process of learning, change and improvement thanks to acquired experience, flexibility and high quality dialogue between partners. The Fund is a valuable South-South cooperation instrument, financed from and for the South.

4. The Mexico-Chile Joint Cooperation Fund Results Applicability After three years of implementation, the Mexico-Chile Joint Cooperation Fund has carried out 31 projects of technical, educational and cultural cooperation with concrete and positive results, particularly in the development of institutional capacities of the project executing agencies in both countries. The Fund has been institutionalized as a model of South South Cooperation between Mexico and Chile. Due to its success, this model of South-South Cooperation, is expected to be replicated in other countries of the region, especially in Uruguay, Peru, Ecuador, Colombia and Costa Rica. Budgetary constraints, greater inclusion of civil society and more visibility are now the challenges.