Chile: Economic activity expands at a solid pace in August
October 5, 2017
Economic activity rose 2.4% in August on an annual basis according to the Monthly Indicator for Economic Activity (IMACEC) published by Chile’s Central Bank, down from July’s 2.8% and slightly undershooting analysts’ expectations.
The mining IMACEC surged 9.2% in August, marking a second consecutive monthly increase, with production now well and truly back on track after a strike disrupted output in the first half of the year. The trade and services sectors also increased, more than compensating a decline in the construction sector. On a monthly basis, economic activity rose 0.3% in August in seasonally-adjusted terms, down from July’s 0.9% increase. Annual average economic growth dipped from 1.0% in July to 0.9% in August.
Finance Minister Nicolás Eyzaguirre took the figures as a sign that the recovery in the mining sector “is being transmitted gradually, but robustly, to the rest of the economy.”
Author: Oliver Reynolds, Economist