According to the report of Monetary Policy from the Central Bank, the future projection for the GDP’s growth was reduced to 1.25%-2.25%, from 2%- 3% , that was announced in December of 2015.
This way, the president of the Central Bank, Rodrigo Vergara, explained at the presentation of the report, that “in practice, the closing of 2015, showed a weaker demand and an economy that grew less than it was predicted during the year”. This factor, added to a weaker external scenario, reduces the perspectives of growth for this year.
However, this new cutback was anticipated by the economic experts, because at latest survey of Economic Expectations from the Central Bank, the respondents professionals suggested an economic development of 1.7%-1.9%, during 2016.
Regarding to the projections for 2017, Vergara stated that economy would grow among 2% and 3%. The estimation has been considered as unheard, because at projections made during the last two years, was only took into account the current year.
Additionally Vergara said that “the external boost that the Chilean economy would be receiving during 2016 and 2017, would be lower than the expected in 2015. This as consequence of a global lower development and because the financial conditions are going to be less generous”. This means that our economy will be growing below its potential, during an important part of the projection horizon.