Chile's new president, José Antonio Kast, is due to take office on Wednesday amid global economic turmoil, as the war involving Iran shakes international markets.
Elected in December on a platform promising greater economic growth, deregulation, and reduced public spending, the far-right leader initially reassured investors. Following his electoral victory, Chilean financial markets rebounded.
However, the international situation has changed rapidly. Geopolitical tensions and global market volatility have created a more uncertain economic environment as Kast prepares to take office.
A spokesperson for his economic team indicated that no emergency measures were planned at this time, without specifying to what extent recent events might affect the implementation of his economic program.
According to Kenneth Bunker, a political analyst and academic at the University of San Sebastián, Kast was elected on a promise of an "emergency government" capable of quickly resolving the country's economic problems.
However, the ability of his administration to implement its reforms could depend on key economic factors, including exchange rate developments, inflation and growth.
If the promised economic growth does not materialize, several projects of the new government could be delayed, the analyst believes, in a context where the Chilean economy remains closely linked to fluctuations in global markets.
