Chile: Economic activity gains momentum in May
July 5, 2017
Economic activity rose 1.3% in May on an annual basis, according to the Monthly Indicator for Economic Activity (IMACEC) published by Chile’s Central Bank, coming in below market expectations of a 1.5% rise. This followed April’s mild 0.1% increase, which was negatively impacted by a lower number of working days compared to the same month of the prior year.
The mining IMACEC continued to decline sharply in May, despite an end to strike action at the Escondida mine in late March. However, this fall was more than compensated by growth in the trade and manufacturing sectors. On a monthly basis, economic activity rose 0.5% in seasonally adjusted terms in May, down from April’s 0.9% increase. The overall trend in May pointed downwards, with annual average growth in economic activity dipping from 0.9% in April to 0.8%.
Author: Oliver Reynolds, Economist