Analysis by Region - Emerging Markets - Chile

Analysis by Region - Emerging Markets - Chile

We continue to expect Chile's economy will contract by 1% y/y in 2023. Tighter monetary policy conditions will be one of the driving factors behind the recession we expect to last until Q3 this year. Indeed, the February monthly GDP proxy (IMACEC) fell 0.3% on the month, pointing to a continued, although non-linear, correction in domestic demand.