August 03, 20 - 4:23 pm - LABS

Chile’s economic activity fell 12.4% in June, despite growing in the mining sector

Chile’s economic activity fell 12.4% in June from the same month a year ago, according to figures disclosed on Monday by the country’s central bank. The IMACEC index, an acronym for Monthly Indicator of Economic Activity, encompasses more 90% of the areas taken into account for the official gross domestic product (GDP) and is broadly seen as an anticipation of the full results.

Finance Minister Ignacio Briones said there was little cause for celebration, even as the number came two percentage points above average expectations polled by Reuters.

It is a smaller decrease than the market expected, but it is still a substantial drop, which will make this second quarter the worst in a long time, with a drop in economic activity of around 14%

Chile’s Finance Minister Ignacio Briones, in a statement

The result was a little better due to the copper, of which Chile is one of the biggest global exporters: the mining industry grew 2.2% in June, while the rest of the economy fell 14%.