IMF slashes Chile 2026 growth forecast to 0.6%, flags persistent high unemployment

The IMF cut its 2026 GDP growth projection for Chile to 0.6% from 2.4% in April, aligning with a World Bank estimate of 0.8%. The sharp downgrade signals a significant slowdown in Chile's economic outlook, with unemployment expected to remain elevated. This revision underscores deteriorating growth conditions in a key Latin American economy, potentially pressuring the peso and local assets.