Chile: Business confidence sinks to an all-time low in December
The business confidence index (IMCE), published by ICARE and the Adolfo Ibáñez University, fell to a new record low of 32.5 points in December from 36.6 points in October. As a result, the index remains moved further below the crucial 50-point threshold that separates pessimism from optimism among the Chilean businesses. The further deterioration reflected heightened uncertainties stemming from civil unrests that has rocked the country since mid-October and the proposed rewriting of the country’s constitution.
All four subcomponents of the index posted negative results in December. Notably, confidence in the mining sector dived markedly and turned pessimistic, while confidence in construction and industry deteriorated further. On the other hand, sentiment in the commerce sector improved slightly, although remained deeply entrenched in negative territory.