The Central Bank of Chile projects that Chile’s GDP will fall between 5.5 and 7.5% this year, with a significant decrease in the second quarter, as inflationary pressures dramatically reduced. The agency predicted that inflation will reach 2.0% this year, from the previous calculation of 3.0%. Meanwhile, the price of copper could average this year $2.50 per pound, compared to $2.15 previously projected. On the other hand, domestic demand could fall 10.4%, with declines in investment of 16% and consumption by 4%.
By 37 votes in favor, 1 against and 3 abstentions, the Senate chamber approved the modifications introduced to the bill that establishes a benefit for independent workers who have been affected by the pandemic. This initiative circumvented its third and final legislative process, with which it was dispatched from Congress and is ready to become law. The initiative increases the subsidy to CH$100,000 ($124.75).
TerraForm Power Inc.’s shares jumped 1.58% to close at $18.67. About 327,552 shares traded hands on 3,305 trades for the day, compared with an average daily volume of n/a shares out of a total float of 226.52 million. With today’s gains, TerraForm Power Inc. now has a market cap of $4.23 billion. The portfolio of facilities controlled by the company includes wind and solar power producing facilities located in the U.S., Canada, the UK, and Chile.
Unionised copper mine workers in Chile asked to be included in a dialogue between companies and the government to address the ongoing pandemic in this sector. The Chilean Mines Federation – which groups the workers at Chile’s principal copper deposits – has stated, “We want to request, as the largest mining organisation in Chile, a three-way dialogue to prevent even more mine workers from becoming infected”. The federation also asked that health and mining officials be more transparent in disclosing information about sanitary inspections at mines.
With the Lithium industry beginning to feel the effects of the pandemic in Chile, SQM and Albemarle state that their operations are unaffected. Albemarle has said that it planned to immediately shut down its potash plant in the north of Chile for 15 business days to comply with restrictions required by authorities. Despite this decision, the company is adamant that this will not affect its lithium production. Meanwhile, SQM has reduced staff but state that dispatches remain stable.