More Bad News For Growth

August 2008 | Economic Analysis

The outlook for Chile's economy continues to deteriorate. With inflation still topping the government's political agenda, prospects for a fiscal stimulus package remain low. While we see room for a recovery in 2009, when inflationary pressures are expected to subside, we warn that growing worries about the economy could yet come to test the central bank's resolve to tackle inflation over the coming months.

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