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Finance Ministry Sees Q4 GDP Contracting

CHILE
  • Appearing alongside the CB governor Costa, finance minister Marcel is speaking at an investor event, stating that economic uncertainty is a top challenge. Marcel added that GDP is to be negative for Q4, with private consumption slowing down. However, investment has been better than expected and the current account deficit is to moderate in the coming quarters.
  • On inflation, he states that the stronger CLP, twinned with weaker domestic demand and lower fuel costs will tame CPI going forward. The finance minister concludes that activity is to recover after Q1 2023.
  • Elsewhere in local press, Mercurio cites the possibility for 80,000 job losses in any recession across 2023, despite Boric's comments yesterday that Chile has space for additional measures to help households.

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