The Chilean economy will likely expand around 4% on the year in 2012 given the weaker outlook for the global economy, Finance Minister Felipe Larrain told CNN Chile.
Speaking from Davos, Switzerland, Larrain said Chile’s gross domestic product wouldn’t rise at the 5% rate projected in October, when the government drew up its 2012 fiscal budget.
The Chilean economy is strong, “but we don’t control the global economy,” he said from the World Economic Forum in Davos.
Economic growth of 4% “is reasonable,” he said, noting that for 2011, Chile’s GDP likely climbed 6.2% on the year.
The central bank will release fourth-quarter and full-year 2011 GDP data in mid-March.