para seguir debates oecd en vivo - (Road to recovery – M.A. Gurría)
The earthquake and tsunami that hit Chile in late February interrupted the strong recovery that had started in the second half of 2009. Production in the most affected areas has been severely damaged. However, reflecting reconstruction efforts, economic growth is expected to rebound strongly in the second half of 2010, decelerating somewhat later on as the reconstruction boom gradually tapers off and policy tightens. Given its favourable fiscal situation Chile is well placed to finance reconstruction efforts with a mix of debt issuance, sales of assets accumulated in copper funds and moderate increases in tax rates. The central bank should start to withdraw its monetary stimulus soon, as the recovery regains speed. The exact timing of interest rate increases will also depend on the extent to which Chile is spared from the financial market volatility observed in Europe in early May.