Chile Inflation Slows to 4% in August

Chile’s annual inflation eased to 4.0% in August 2025 from 4.3% in July, below expectations of 4.2% for the slowest price growth since April 2024. The slowdown was mainly due to deflation in clothing and footwear (-1.0% vs 1.4%) and weaker price growth in alcoholic beverages and tobacco (3.7% vs 5.2%), housing and utilities (9.5% vs 9.8%), household equipment and maintenance (0.7% vs 1.9%), transport (0.2% vs 0.6%), information and communication (0.5% vs 1.0%), and recreation, sports, and culture (2.7% vs 3.8%). In contrast, inflation picked up for healthcare (5.3% vs 4.7%), food and non-alcoholic beverages (3.5% vs 3.2%), and insurance and financial services (2.1% vs 0.1%). On a monthly basis, consumer prices were unchanged, after rising 0.9% in July.