Economy

Chile's GDP jumps 18.1% on year-on-year basis in Q2

Chilean economy grew 1% between April and June this year compared with the first quarter

Containers are pictured at the San Antonio port, in Chile

18.Aug.2021 15:25 BRT

The year-on-year figure reflected the low base of comparison with the previous year, when Chile was in the depths of the pandemic;
Government economic support for households and businesses had an impact on this quarter’s figure compared to last year.

Chile’s gross domestic product rose 18.1% on a year-on-year basis in the second quarter of 2021, the country’s central bank said, as the economy showed signs of a recovery despite coronavirus-related lockdowns in both periods.

The economy grew 1% between April and June this year compared with the first quarter, according to deseasonalized figures released by the bank.

The year-on-year figure reflected the low base of comparison with the previous year, when Chile was in the depths of a pandemic that began in March, the bank said.

Government economic support for households and businesses, the drawdown by Chileans of tranches of their privately-held pension funds and a “greater adaptation of the economy to sanitary restrictions” had an impact on this quarter’s figure compared to last year, the bank added.

The mining sector of the world’s largest copper producer grew 2.8% in the same period, while the economy’s non-mining activity grew 20.2%.

There was a generalized increase in economic activity in the second quarter, with the bank highlighting movement in education and health services in addition to trade and, to a lesser extent, manufacturing.