Chile Economic Outlook. First quarter 2016

Summary

We corrected downwards our GDP growth projections for 2016 and 2017 to 1.8% and 2.5% respectively. Meanwhile, lower both exchange-rate and food price pressures allow us to estimate a declining annual inflation rate for this year. In this scenario, we forecast that policy rates will have at most one more increase of 25bp closing this year at 3.75%.

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