Latin America Economics

Latin America Update
30 January, 2012

Chile’s two-speed economy likely to struggle in 2012

Growing imbalances in the drivers of Chilean growth leave the economy vulnerable to a deterioration of its terms of trade, particularly via falling metals prices, over the year ahead. With this in mind we expect to see a further 100bps of rate cuts in 2012, taking the benchmark rate to 4.0% by year-end....

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