Speakers of the Moroccan and Chilean parliaments, Habib Al-Maliki and visiting Iván Flores García, signed in Rabat an agreement to exchange experiences in the legislative field and boost trade and economic cooperation. Chile is aware that Morocco is an important gateway to the African continent while Chile acts as Morocco's gateway to Latin America, Flores García told the reporters after the signing ceremony.
Chilean Agriculture Minister Antonio Walker confirmed that to date there are already 2,300 containers with Chilean fruit stranded in China as a result of the coronavirus, although the cargo is in good condition. Trade has reactivated after the New Year holidays but is much slower and today 100 containers are opened per day against 200 before. In addition, e-commerce grew between 40% and 50%, because people try not to go out which makes direct sale in markets more difficult.
South Korea’s Hyundai Engineering & Construction Co Ltd said it has resolved a dispute with the Chilean government over the construction of a $740 million suspension bridge through a deal to mitigate losses to be formalised in later February. The firm leads the Puente Chacao Consortium (CPC), which won the tender in 2013 to link the continent with the Chiloé archipelago, some 1,000 kilometres south of Santiago.
Chile's central bank will hold its interest rate at 1.75% for at least another year, a Reuters poll of 59 traders show, as policymakers are seen opting for long-term stimulus to ease the economic pain of months of unrest in 2019. Traders predict consumer prices to rise 0.20% in February but hold steady at the bank's target of 3.00% over 12 months. They also worry of a tumultuous month of protests in March.
The Chilean economy will slow down drastically in 2020 and inflation in Q3 and Q4 will be close to 4%, said Vice President of Chile Central Bank, Joaquín Vial, during a seminar at the headquarters of the Central Bank of Spain in Madrid. He estimated that core inflation will increase to just over 3.5% in mid-year in response to the depreciation of the peso. GDP in 2020 will be between 0.5% and 1.5%. He also analysed the impact of social unrest at the end of last year on the country economy.