Chile’s Central Bank Is Set to Deliver First Interest Rate Cut of 2025

Chile’s central bank will likely cut its interest rate by a quarter-point on Tuesday, lowering borrowing costs for the first time this year as policymakers seize on an improving inflation outlook.

Board members led by Rosanna Costa will reduce the overnight rate to 4.75% after markets close, according to all economists in a Bloomberg survey. Policymakers have kept borrowing costs steady for the last four meetings after having lowered them from a high of 11.25% seen in mid-2023.