Chile: Review Under the Flexible Credit Line Arrangement-Press Release; Staff Report; and Statement by the Executive Director for Chile

The economy is broadly balanced and growing at its potential. The global trade tensions have not yet significantly impacted the Chilean economy. However, slower growth is anticipated as the global economy decelerates. In this context, policy efforts are appropriately focused on a prudent fiscal path to ensure debt sustainability, bringing inflation back to target, and supply-side measures to boost economic dynamism, such as streamlining processes to approve investment permits. Presidential and parliamentary elections are scheduled for November 2025, and the new government will assume office in March 2026.