Economy (Chile)
===============


     Overview:
         The government of President Aylwin, which took power in 1990, has opted to
         retain the orthodox economic policies of Pinochet, although the share of
         spending for social welfare has risen slightly. In 1991 growth in GDP
         recovered to 5.5% (led by consumer spending) after only 2.1% growth in 1990.
         The tight monetary policy of 1990 helped cut the rate of inflation from
         27.3% in 1990 to 18.7% in 1991. Despite a 12% drop in copper prices, the
         trade surplus rose in 1991, and international reserves increased.
         Inflationary pressures are not expected to ease much in 1992, and economic
         growth is likely to approach 7%.
     GDP:
         exchange rate conversion - $30.5 billion, per capita $2,300; real growth
         rate 5.5% (1991 est.)
     Inflation rate (consumer prices):
         18.7% (1991)
     Unemployment rate:
         6.5% (1991)
     Budget:
         revenues $7.6 billion; expenditures $8.3 billion, including capital
         expenditures of $772 million (1991 est.)
     Exports:
         $8.9 billion (f.o.b., 1991)
       commodities:
         copper 50%, other metals and minerals 7%, wood products 6.5%, fish and
         fishmeal 9%, fruits 5% (1989)
       partners:
         EC 36%, US 18%, Japan 14%, Brazil 6% (1989)
     Imports:
         $7.4 billion (f.o.b., 1991)
       commodities:
         petroleum, wheat, capital goods, spare parts, raw materials
       partners:
         EC 20%, US 20%, Japan 11%, Brazil 10% (1989)
     External debt:
         $16.2 billion (October 1991)
     Industrial production:
         growth rate 5.9% (1991 est.); accounts for 36% of GDP
     Electricity:
         5,502,800 kW capacity; 21,470 million kWh produced, 1,616 kWh per capita
         (1991)
     Industries:
         copper, other minerals, foodstuffs, fish processing, iron and steel, wood
         and wood products, transport equipment, cement, textiles
     Agriculture:
         accounts for about 9% of GDP (including fishing and forestry); major
         exporter of fruit, fish, and timber products; major crops - wheat, corn,
         grapes, beans, sugar beets, potatoes, deciduous fruit; livestock products -
         beef, poultry, wool; self-sufficient in most foods; 1989 fish catch of 6.1
         million metric tons; net agricultural importer
     Economic aid:
         US commitments, including Ex-Im (FY70-89), $521 million; Western (non-US)
         countries, ODA and OOF bilateral commitments (1970-89), $1.6 billion;
         Communist countries (1970-89), $386 million
     Currency:
         Chilean peso (plural - pesos); 1 Chilean peso (Ch$) = 100 centavos
     Exchange rates:
         Chilean pesos (Ch$) per US$1 - 368.66 (January 1992), 349.37 (1991), 305.06
         (1990), 267.16 (1989), 245.05 (1988), 219.54 (1987)