Chile has the governance institutions in place to maximise the potential of its public administration and to deploy resources in pursuit of its economic and socio-economic aims. As it moves to modernise the state Chile should pay attention not only to structures and processes but also to planning horizons and co-ordination of actors to achieve effective and efficient policy design and implementation. To this end, it should: • Complement its short- to medium-term strategic planning mechanisms with longerterm planning, which can further increase preparedness for “discontinuous” events. • Reinforce inter-ministerial co-ordination and incentives for programme- or planningbased policy approaches to increase synergy in the use of financial and human resources, and to optimise policy outcomes. • Further enhance resource flexibility in budgeting, and consider a medium-term budget or expenditure framework to identify funding sources to implement or further build public policy programmes. • Link staffing levels not only to budget availability but also to future needs to improve flexibility and competences in human resource management. • Take a comprehensive approach to administrative simplification to facilitate growth of multiple sectors and minimise ad hoc ministerial initiatives. • Ensure adequate time, resources and mechanisms to make proper use of information arising from citizen engagement, as a demand or “citizen” driven use of funds can improve policy outcomes. • Be sensitive to the different roles of government and adapt reform approaches accordingly to improve sustainability. (For example, the government’s role in product market or pro-growth tax reform is likely to differ from its role in education or healthcare or administrative reform.)