Economics
Add a Million Venezuelans and Your Economy Looks Very Different
- Chile cut rate, saying migrants have boosted potential growth
- But Peru and Colombia are feeling a strain on public services
The UNHCR built a camp for migrants after the La Guajira, Colombia border became inaundated.
Photographer: Federico Rios/BloombergThis article is for subscribers only.
Markets were shocked when Chile cut interest rates this month, but the central bank had a simple explanation: The economy suddenly had a lot more people in it.
That’s because of the exodus from Venezuela, where about 4 million people have fled financial and social collapse. They’re showing up across South America, forcing central banks and finance ministries to deal with the economic consequences.