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Economy / Chile

Rough Ride Ahead

April 2011 | Political Risk Analysis

BMI View: We believe 2011 will be a difficult year for Chilean President Sebastián Piñera as he seeks to push forward with key reforms. We identify the three challenges for his administration as the consolidation of the left wing, the risk of fiscal policy slippage due to inflationary pressures and increasing scrutiny of Piñera's personal judgement. Nonetheless, we view his recent slump in approval ratings as transitory and expect continued economic and political stability in 2011.

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