Economic activity in Chile grows 7.1% in May and exceeds expectations

This number represents the strongest growth since July 2008, when economic activity grew 6.8% inter-annually. For 2010 the Chilean economy is expected to grow between 4% and 5%.

Economic activity in Chile last May surpassed expectations by registering 7.1% growth compared to the same month last year
Economic activity in Chile last May surpassed expectations by registering 7.1% growth compared to the same month last year

Economic activity in Chile last May surpassed expectations by registering 7.1% growth compared to the same month last year, the country’s Central Bank (BC) reported this Monday, 5 July.

This number represents the strongest level since July 2008, when economic activity showed 6.8% inter-annual growth, according to BC data.

This excellent economic performance was mainly influenced by the dynamism attained in sectors like the retail and wholesale sectors, transportation and communication, electricity, water and gas, in addition to industry, where there was one more working day compared to May 2009.

The IMACEC (Monthly Economic Activity Indicator) data considers over 90% of the goods and services included in the Gross Domestic Product (GDP), and in April it showed inter-annual growth of 4.6%. Meanwhile, in March the same indicator fell by 2.8%, after registering growth of 2.7% in February and 4.3% in January.

After a decade of sustained growth,the Chilean economy shrank by 1.5% last year thanks to the international economic crisis. The first quarter of the year registered slight growth of 1%, thanks to the earthquake last 27 February.

The Central Bank has projected between 4% and 5% growth this year due to the sluggish growth in the first quarter.

This post is also available in Spanish