The Chilean urban system and its challenges

The quality of life in Chile has improved significantly over the past decades, and in general, Chileans report greater satisfaction with their lives than the OECD average. However, Chile ranks lower than many other OECD members on a variety of urban-related topics including income, housing, jobs and the environment. In 2010, approximately 15.2 million people lived in Chile’s urban areas, representing about 89% of the population and it is estimated that by 2025, the urban population will constitute over 90% of the total. This chapter examines economic and socio-economic trends in Chile’s urban areas, and raises the key issues and challenges facing its cities and metropolitan regions using the OECD methodology establishing functional urban areas (FUAs). Among the main challenges identified are population growth, mounting inequality, low levels of housing stock despite major improvements in access to housing, and environmental concerns, particularly with respect to air quality and access to green space.