SANTIAGO (Reuters) – Chile’s government now expects gross domestic product (GDP) to grow 0.2% in 2023, Finance Minister Mario Marcel told the Senate on Wednesday, revising its forecast down from a previous estimate of 0.3%.
Internal demand in the world’s largest copper producer is seen falling 4.1% this year from 2022, Marcel added, a larger drop then the 3.5% one projected by the government in May.
The Andean country’s government also revised down its forecast for average inflation and copper prices this year.
Chile now expects inflation to average 7.8% in 2023, slightly below the 7.9% projected two months ago although still above the central bank’s 3% target.
Copper prices, meanwhile, are seen averaging $3.85 per pound, down from the $3.86 estimated before.
(Reporting by Fabian Andres Cambero; Editing by Steven Grattan)