Chile: Economic activity shrinks more slowly in February
Latest reading: Economic activity declined 0.3% in annual terms in February, following a 0.5% decline in the prior month.
Relative to the previous month’s figures, readings in February improved for mining (+1.0% on a year-on-year basis vs -1.1% in January) and non-mining (-0.3% vs -0.4% in January).
In seasonally adjusted month-on-month terms, economic activity declined 0.3% in February, following a 0.1% drop in the previous month.
Panelist insight: On the February reading, Itaú Unibanco analysts said:
“The latest figures confirm the weak activity start to the year and reinforce the downside bias to growth forecasts. Utilizing data from the February rolling quarter, the growth carryover for 2026 sits at 0.1%. Credit dynamics remain weak, with total bank loan growth holding at 2.2% YoY (nominal), unchanged from January, pointing to subdued demand. The labor market remains soft, with stagnant employment and slowing wage growth reinforcing downside risks. The weak activity data through February precedes the potential dent derived from the global oil price shock and tighter global financial conditions.”