Chile’s financial market participants estimate that the nation’s inflation will reduce to 3.2% within a year, a significant decrease from the present 7.6%, as per the Central Bank of Chile.
This forecast was part of a Financial Operators’ Survey conducted recently by the Bank, indicating a further decline in inflation to 3% over the subsequent two years.
Statistics from the National Institute of Statistics of Chile reveal a decrease in inflation by 0.2% this June compared to May, a larger drop than anticipated by market analysts.
The year-on-year inflation variation stands at 7.6% as of early July.
Additionally, these financial operators suggest a drop in the Central Bank’s monetary policy interest rate, an instrument for controlling inflation, to 10.50% from 11.25% in the next meeting.
Further projections suggest a continued downward trend reaching 7.75% by December 2023, 5.25% in June 2024, and 4.50% in July 2025.
The survey also indicates a potential increase in the dollar’s value compared to the Chilean peso, with a projection of 800 pesos per dollar in the following month.