Institutional corruption and infrastructure issues in Chile/

Institutional integrity in Chile and Peru continues to face challenges from corruption, organized crime, and mismanagement of public works and environmental projects.

In Chile, religious leaders have described corruption as a “true cancer” that facilitates human and drug trafficking. Oversight efforts have expanded to include the Dominga mining-port project, which was effectively rejected following the withdrawal of legal appeals by Andes Iron. Additionally, the Environmental Evaluation Service (SEA) has resumed the invalidation process for a 19-tower residential project in the Paicaví Wetland. In San Felipe, the Regional Comptroller of Valparaíso is investigating municipal contract deficiencies, specifically citing unpaid states of payment and inconsistent valuations for public works.

In Peru, the crisis involves the infiltration of police training schools by criminal organizations, leading to a reengineering of police intelligence. Local corruption remains a focus as an anti-corruption investigation continues in Miraflores against Mayor Carlos Canales regarding alleged obstacles placed on social interest housing projects. Furthermore, the Comptroller General has reported significant delays and structural defects in a thermal water access project in Yura, Arequipa, which shows only 14.59% progress. In Castilla, municipal authorities are awaiting funds from the Ministry of Economy and Finance to maintain emergency water collection systems ahead of the rainy season.