Overview: Chile has a prosperous, essentially free market economy, with the degree of government intervention varying according to the philosophy of the different regimes. Under the center-left government of President AYLWIN, which took power in March 1990, spending on social welfare rose steadily. At the same time business investment, exports, and consumer spending also grew substantially. The new president, FREI, who took office in March 1994, has emphasized social spending even more. Growth in 1991-94 has averaged 6.5% annually, with an estimated one million Chileans having moved out of poverty in the last four years. Copper remains vital to the health of the economy; Chile is the world's largest producer and exporter of copper. Success in meeting the government's goal of sustained annual growth of 5% depends on world copper prices, the level of confidence of foreign investors and creditors, and the government's own ability to maintain a conservative fiscal stance.
National product: GDP - purchasing power parity - $97.7 billion (1994 est.)
National product real growth rate: 4.3% (1994 est.)
National product per capita: $7,010 (1994 est.)
Inflation rate (consumer prices): 8.7% (1994 est.)
Unemployment rate: 6% (1994 est.)
Budget:
revenues: $10.9 billion
expenditures: $10.9 billion, including capital expenditures of $1.2
billion (1993)
Exports: $11.5 billion (f.o.b., 1994)
commodities: copper 41%, other metals and minerals 8.7%, wood products
7.1%, fish and fishmeal 9.8%, fruits 8.4% (1991)
partners: EC 29%, Japan 17%, US 16%, Argentina 5%, Brazil 5% (1992)
Imports: $10.9 billion (f.o.b., 1994)
commodities: capital goods 25.2%, spare parts 24.8%, raw materials
15.4%, petroleum 10%, foodstuffs 5.7%
partners: EC 24%, US 21%, Brazil 10%, Japan 10% (1992)
External debt: $20 billion (1994 est.)