The Central Bank of Chile reported that its economy shrank 0.9 percent in May 2026 compared with May 2025, according to the IMACEC index, the country’s main indicator of economic activity.
Goods production fell 4.7 percent, mining dropped 11.6 percent, and manufacturing declined 1.7 percent. Trade rose 0.8 percent, while services expanded 1.0 percent.
On a month-over-month basis, the IMACEC index fell 0.2 percent in May from April.
Over the same period, goods production rose 0.1 percent, mining increased 0.2 percent, manufacturing slipped 0.1 percent, and trade gained 0.2 percent, while services remained unchanged.
Kewin Cowan, a counselor at the Central Bank of Chile, told local media that the economy’s weak performance was largely tied to disappointing results in the mining sector.
He expects a short-term recovery, supported by stronger investment and lower price indicators in the coming months, which could help reduce the annual inflation rate, currently at 3.9 percent.
The monthly IMACEC economic activity index tracks changes in Chile’s gross domestic product (GDP). It is released on the first business day of each month, with a lag of about 31 days.
