OECD this year projects a 4.1% growth forecast for Chile
Published: June 1, 2010
The organization states that the earthquake interrupted "the strong recovery that had started in 2009", but they hope that it will rebound during the second half of 2010.
The Organization for Economic Cooperation and Development (OECD) maintains 4.1% growth forecast for the Chilean economy this year, and revised upwards to 5.3% of 2011.
Three tenths higher than expected in November by the OECD, which today unveiled its latest semiannual economic outlook report.
In the former, Chile had been forecasted with a growth of 4.1% this year and 5% for next year.
The earthquake that struck Chile in February interrupted "the strong recovery that started in 2009" , according to the authors of the study, adding that production in the areas most affected by the quake was " seriously "damaged.
However, expect a strong pickup in the economic growth during the second half of 2010, as you decrease the pull of the reconstruction.
The reconstruction of damaged infrastructure would cost about 20,000 dollars (about 10% of GDP), recalls the organization.
The organization warns that the recovery of the Chilean economy "could be weaker than expected" if the global economic recovery slows down or the "negative impact" of the earthquake was greater and lasted longer than predicted.
Source: www.emol.com