Chile's central bank previously cut the monetary policy interest rate by 25 basis points to 5.00% at its January meeting. The Bank last raised its monetary policy interest rate by 25 basis points to 5.25% at its June meeting last year. Chile reported annual consumer price inflation of 4.2% in January this year, compared to 3.7% in October, 3.3% in September, 3.2% in August, 2.9% in July, 3.4% in June, 3.3% in May and 3.2% in April last year; within the Bank's inflation target of 2-4%.
The Chilean economy grew 0.6% in the September quarter (1.4% in Q2, 1.6% in Q1), placing annual GDP growth at 4.8% (6.6% in Q2, 9.9% in Q1). The Chilean Peso (CLP) has weakened about 3% against the US dollar over the past year, while the USDCLP exchange rate last traded around 484.