Chile's economic outlook is "quite favourable" despite months of political unrest in the country, Finance Minister Ignacio Briones told foreign correspondents in Santiago. "We should stress that we have a scenario of positive growth," Briones said. The government forecasts a 1.3% growth for 2020, "relatively higher" than the central bank projection of 1%, noted Briones. Prior to the outbreak of anti-government protests in mid-October, a 3.3% expansion in gross domestic product (GDP) was forecast.
JPMorgan lowered its growth forecasts for Chile from 1.1% to 0.9% by 2020, an estimate only higher than 0.7% of UBS, and slightly below the midpoint of the Central Bank range (0,5%-1,5%). In addition to the impact of the coronavirus emergency on the Chilean economy, its latest report adds concern about social instability in the country with potential repetition of violent demonstrations in March prior to the plebiscite for a new Constitution.