CHILE
Analysts
Robert Funk
Former President, Political Science Association
Igal Magendzo
Former Manager of Macro Analysis, Central Bank
Andrés Velasco
Former Finance MinisterDatabanks
Recent Country Insights
Kast’s State of the Union: Fiscal Stress
CHILE · In Brief · 02 Jun 2026
Three months into office, President José Antonio Kast’s first June 1 “State of the Union” should have been a victory lap. Instead, it was an attempt to reset the government’s political narrative. The speech clarified the administration’s priorities on security, fiscal correction, and growth. It a...
A hard day's start
CHILE · Report · 01 Jun 2026
We maintain our 1.5% GDP growth forecast for 2026, with risks still tilted to the downside. The latest activity data point to an unfavorable turn, and national accounts came in weaker than suggested by the IMACEC. Some of the weaknesses reflect one-time supply side events, but these do not fully ...
Kast on the Defensive
CHILE · In Brief · 20 May 2026
President José Antonio Kast entered office two months ago with a very clear remit: restore security and regain control of migration. He promised that after years of political volatility, Chile would get order. Perhaps even become boring. Yesterday’s departure of Security Minister Trinidad Steiner...
Navigating the shock, waiting for momentum
CHILE · Report · 29 Apr 2026
GDP decelerated sharply in H2 2025, and this weakness extended into early 2026. Growth would need to gain significant momentum in the coming months to reach an average of 2% for 2026. In addition to weak data for the first months of the year, the economy is facing a negative income shock from hig...
Kast's Big Beautiful Bill
CHILE · In Brief · 23 Apr 2026
President José Antonio Kast has framed his National Reconstruction Plan as a response to the three crises he claims Chile is facing: economic, political and security. Kast knows that of the three, it is security that has been uppermost in the electorate’s mind. Yet the Plan appears to be centered...
Fuel Prices Increase
CHILE · In Brief · 24 Mar 2026
Yesterday, the government announced measures that will take effect this Thursday, March 26, increasing gasoline prices at the pump by 34% and diesel prices by 70%. The stated objective is to prevent a short-term decline in fiscal revenues resulting from the reduction in the specific fuel tax unde...
A government in a hurry; an economy in a daze
CHILE · Report · 24 Mar 2026
Growth close to its potential rate and a nearly balanced current account suggest that the Chilean economy is operating broadly in equilibrium. GDP rose 2.5% in 2025, above the preliminary 2.3% growth indicated by the Monthly Index of Economic Activity (IMACEC). The upside surprise was largely exp...
Kast’s Blast from the Past
CHILE · In Brief · 12 Mar 2026
José Antonio Kast has entered Chile’s presidential palace, becoming the first president since Carlos Ibañez del Camp, who left office in 1958, to make the Moneda palace the presidential residence. The move is meant to be a sign of austerity and offer the promise of hard work. Like much of Kast’s ...
The Chile-US Cable Spat
CHILE · In Brief · 24 Feb 2026
Chile-US relations were struck a firm blow last week when the United States revoked the visas of Chilean Transport and Telecommunications Minister Juan Carlos Muñoz and two other officials, accusing them of actions that could “compromise critical telecommunications infrastructure” and undermine r...