In the review of Chile's economy in 2022, there are three key words to sum up: growth, challenges, and opportunities. According to Chile.cn news and Xinhua Net, although Chile’s economy has decreased for the third consecutive month, experts predict that its GDP would grow by 2.5% in the year 2022, over 1.5% to the investigation in April 2022.
Image by Steve Wilson from Pixabay
Further Prediction on Chile's Economy
Earlier in December 2022, the Chilean central bank said that Chilean financial analysts had raised their economic growth forecast for 2022 to 2.5%, and gross domestic product (GDP) to expand just 1.5% the following year (2023). It is no coincidence that the IMF has the same prediction. IMF also forecast that the consumer price will raise 5.3% in the following 11 months and the inflation rate will increase by 5% by the end of 2023. The benchmark interest rate is expected to remain at 11.25% at the end of this year, which is already the highest level since 1998, but it will drop to 7% by December 2023.
Chile's Economy Growth to Be Continued
Although Chile’s inflation rate is far from the 3% target range, the Finance Ministry said the economy is “adjusting” and resuming its path of growth, following the macroeconomic imbalances caused by the pandemic.Santandertrade’s thorough analysis of Chile’s economy and politics updated earlier this month said that Chile has been one of the fastest-growing economies in Latin America in the past decade, which makes it reduce the country’s poverty to a great deal. In the next few years, its economy will continue to rise at a slow pace and will go on to benefit from the strong copper international prices and the ongoing fiscal stimuli.Besides, Santandertrade believed that in order to revive its economic growth, the major issue of the Chilean government is to reinforce its commercial cooperation with new trade partners, especially in Asia. 
Image by Grebmot from PixabayReasons for the Growth and Challenges
Santandertrade points out that the most important sector of the Chilean economy is services, which accounts for 56.4% of the country’s GDP and employs around 68.7% of the population. The services sector includes trade, restaurants and hotels, transport, communications, financial and business services, real estate, and personal services. Among the highest-growing sectors in recent years are tourism, retail, and telecommunications.On the other hand, the industrial sector in Chile contributes 31.4% of the GDP and employs 22.2% of the population. Mining is one of the pillars of the Chilean economy, making Chile the world’s largest copper producer due to its large amount of copper reserves. As reinforced by the rapid development of communication and information technology, the sector has been consistently growing.
As further indicated by Santandertrade, The Chilean economy faces three main challenges: overcoming its traditional dependence on the price of copper (which represents 50% of the country's exports); developing a self-sufficient food supply (as agriculture produces less than half of domestic needs); and increasing its productivity, especially in the mining sector.
Business Opportunities Behind
For reference, global project owners and developers can get abundant copper and other mining products supply in Chile while adopting the higher and latest technology to increase productivity. For those Chilean project owners and developers, a more important business share in the Asian countries and regions is worthy of consideration as well. Whereas design service providers can seek more design opportunities for restaurants, hotels, and real estate in Chile the following year. As for product suppliers, an increased product supply in electric generating, communication, and information can be taken into consideration.Source: 1.Chile.cn news (公众号：智利中文网) 2.Xinhua Net 3.Santandertrade 4.Trading EconomicsBuildMost is an O2O platform where you can find one-stop hotel solutions, from hospitality product and facility supply, to hotel interior design, architecture planning and schematic design, landscape design, operational advice etc.
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