Chile cuts rates again to revive flagging domestic demand

Chile’s central bank (BCC) lowered its policy rate by a further 25bps last night in response to fresh signs that domestic demand is cooling. With growth and inflation set to remain weak for the foreseeable future, additional easing is probable. We expect rates to be cut by another 50bps to 4.0% by mid-2014.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.
By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.

Already a client or trialist? Log in to read this.