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Chile's New President Faces Economic Turmoil Ahead

3/11/2026

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Story summary
  • Jose Antonio Kast, Chile's president-elect, is set to take office on March 8 amid turmoil from the Iran war.
  • He campaigned on growth and spending cuts, but rising inflation and copper price swings threaten his plan.
  • Analysts project 2.4% in GDP in 2026, while Kast seeks 4% via austerity requiring congressional approval.
  • Chile's debt-to-GDP ratio has risen to 41.7%, and inflation forecasts have increased due to external shocks.