Chile faces economic challenges as unemployment becomes top citizen concern

Chile is facing significant economic challenges characterized by rising unemployment and shifting public priorities. A survey by Universidad San Sebastián reveals that unemployment has become the primary concern for citizens, cited by 70.2% of respondents, surpassing security concerns. The survey also highlights widespread dissatisfaction with public spending, with over 80% of citizens stating that funds are not used efficiently or to meet real needs. The public is calling for the 2027 budget to prioritize economic reactivation and job creation.

Regional economic data reflects these pressures. In the Biobío region, the Universidad de Concepción has revised growth projections downward to between -1.5% and 0.0% due to high oil prices and rising unemployment. Manufacturing in the region has seen a 5.4% decline. Meanwhile, in the Antofagasta region, unemployment reached 6.5% for the May-July period, prompting INACAP Calama to launch the ‘Emplea X Chile’ platform to connect local talent with job opportunities.

In the real estate sector, the premium office market in the Metropolitan Region shows signs of recovery, recording nine consecutive quarters of positive absorption. Vacancy rates in high-end districts like El Golf and Nueva Las Condes have decreased, though overall vacancy remains slightly above the ten-year average.