Chile: Economic activity remains solid in June
August 6, 2018
Economic activity rose 4.9% year-on-year in June, according to the Monthly Indicator for Economic Activity (IMACEC) published by the Central Bank of Chile. The result came in on par with the previous month’s print and comfortably overshot analysts’ expectations of a 3.0%–4.0% increase.
Expansion was once again led by robust non-mining activity, with the non-mining index up 5.0% in annual terms in June thanks to robust performances in the trade and manufacturing sectors (May: +6.9% year-on-year). Meanwhile, mining growth eased to 3.7% in June, from 4.7% in May.
In seasonally-adjusted terms, economic activity swung back from a 0.7% month-on-month expansion in May to a marginal 0.1% contraction in June. In addition, the trend continued to improve, with annual average economic activity growth surging to the highest level since January 2014 in June.
Chile GDP Forecast
The Central Bank sees GDP expanding between 3.0% and 4.0% in 2018, and between 3.3% and 4.3% in 2019. FocusEconomics panelists see growth of 3.7% in 2018, which is up 0.1 percentage points from last month’s forecast, and 3.4% in 2019.
Author: Almanas Stanapedis, Economist