MNI BCCh Review – Dec '24: Cautious Cut, As BCCh Signals Pause

Executive Summary

• The Board of the Central Bank of Chile decided to cut the monetary policy interest rate by 25bp to 5.00%, as expected, in a unanimous decision.
• The statement struck a more cautious tone, pointing to a pause at the January monetary policy meeting and a slower pace of rate cuts beyond that.
• Analysts also broadly see a pause in January, with the next cut possibly coming in March as the central bank shifts towards a quarterly pace of rate cuts.

Click to view the full review: MNI BCCh Review - Dec 2024.pdf