Chile’s growth beats expectations

Bloomberg

Chile’s economic boom is proving more resilient than many had forecast, with activity expanding faster than expected in November for the eighth time in the past nine months.
The Imacec index, a proxy for gross domestic product, rises 14.3% in November from the year earlier, above the 12.9% median estimate of analysts surveyed by Bloomberg. For the month, activity expanded 0.3%, the central bank reported.
The economy grew as much as 12% in 2021, according to central bank forecasts published last month, marking the fastest pace on record. Growth was driven by fiscal stimulus during the pandemic and about $49 billion in early pension withdrawals, which triggered a consumer spending boom.
Economic activity was driven by services, which expanded 20% from a year prior and 1.8% versus the previous month. On the other hand, mining slipped by 0.3% from a
year earlier and 0.9% versus October.
The statistics institute reported that November manufacturing output and retail sales advances 5% and 16.7%,
respectively, from a year ago.
Manufacturing was in line with economists’ estimates while retail sales were lower than expected.
The central bank hiked its key rate by 125 basis points to 4% at its last meeting in mid-December. Policy makers forecast consumer prices rose 6.9% last year and that they will rise 3.7% in 2022.