Chile's business confidence drops in Biobío as costs rise, while national activity rebounds

The regional business confidence index for Biobío (IPER) fell sharply from a 15‑year high of 63 points to 48 points, reflecting heightened operating costs and lower profit expectations among surveyed executives. Survey participants cited rising oil and input prices, driven by geopolitical tensions between the United States and Iran, as the main external pressure on margins.

At the national level, Chile avoided a technical recession in June as the monthly industrial production index (Imacec) posted a 2.4% increase, its first positive reading after five consecutive declines. The Central Bank attributed the gain to strong performance in mining (up 9.8% year‑on‑year), services and commerce, which together offset weaker manufacturing and a modest drop in taxes on products.