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The perfect storm in Chile’s economy

RIO DE JANEIRO, BRAZIL - The pandemic is no longer the greatest risk to the Chilean economy, which over the past 3 decades has been among the most stable in the region. Economists from different political sectors agree that the problem lies in the disorderly emergence from the crisis, due to the great impact that successive pension fund withdrawals have had on the financial system.

In an electoral year in which Congress is discussing allowing a 4th withdrawal of 10% of pensions, against the opposition of the government of Sebastián Piñera, the (autonomous) Central Bank has taken unprecedented measures . . .

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