Corfo activates subsidies of up to 40 million for SMEs affected by floods

Corfo approved the guidelines for the intervention typology “Activa Reactivación Inundaciones 2026, Coquimbo Region, Huasco Province and Tierra Amarilla Commune,” aimed at supporting micro, small, and medium-sized enterprises affected by the floods of July 2026. The decision was formalized through exempt resolution No. 1,308, dated October 7, 2026, from the Territorial Development Management of the Production Development Corporation, published in the Official Gazette of the Republic of Chile No. 44,574, on Thursday, October 15, 2026, Section I, General Norms (CVE 2885684). The subsidy co-finances up to 70% of the total project cost, with a cap of $40,000,000 per beneficiary.

The origin: the catastrophe of July 2026

The guidelines are based on the floods that occurred during July 2026 in the province of Huasco, in the Atacama Region, and in the Coquimbo Region. The Government of Chile declared a Constitutional State of Exception of Catastrophe due to Public Calamity through decree No. 112, dated July 20, 2026, from the Ministry of the Interior, extended to the commune of Tierra Amarilla, in the province of Copiapó, by decree No. 114, dated July 21, 2026, from the same ministry.

The resolution executes the agreement of the Fund Allocation Committee (CAF) adopted in Session No. 9/2026, dated September 22, 2026, which created the typology within the framework of the “Activa Inversión” instrument. The text was signed by Juan Francisco Montes Labarca, Acting Manager of Territorial Development.

Who can apply and how much they receive

Taxpayers with commencement of activities in the First Category of the Income Tax Law may apply, provided they meet, among others, the following requirements:

• Minimum seniority of 12 months of commencement of activities before the opening of the call.
• Annual sales within the range set by each call, never lower than UF 1,200 nor higher than UF 100,000.
• To be included in the registry of affected companies prepared or validated by the Ministry of Economy, Development and Tourism.
• Present an investment project equal to or greater than $20,000,000.
• Not have received subsidies from Sercotec to address the same catastrophe, nor have been a beneficiary of this typology previously.

The co-financing from Corfo and the Regional Productive Development Committee reaches up to 70% of the total cost, with a cap of $40,000,000, and up to 40% of the subsidy may be allocated to working capital. The beneficiary finances the remainder, and their “pre-existing or valued” contribution cannot exceed 50% of the total contribution.

Deadlines, administration and validity

The execution period for each project is up to 8 months, extendable, not to exceed 10 months in total. Administration is outsourced to Intermediate Operating Agents with a current Performance Agreement with the Regional Directorate of Corfo of Coquimbo or Atacama, who receive up to 10% of the awarded subsidy for administration expenses.

Applications are open permanently and are submitted through the Corfo website. The decision rests with the Regional Productive Development Committee of Coquimbo and Atacama, which evaluates based on four criteria: contribution to sales levels (30%), generation or maintenance of employment (30%), impact on the development of the territory (30%), and quality of the project formulation (10%). Projects may be approved and agreements formalized until June 30, 2027.

The typology seeks to reactivate the economic activity of SMEs hit by floods, financing repairs to productive infrastructure, acquisition of fixed assets, and working capital. For small business owners in Coquimbo, Huasco, and Tierra Amarilla, the instrument opens a concrete path to recovery with majority state co-financing and short execution deadlines.

Source: Official Gazette of the Republic of Chile, No. 44,574, Thursday, October 15, 2026, Section I, General Norms, page 1 (official reference: CVE 2885684).