The Central Bank of Chile published the Survey of Price Determinants and Expectations (EDEP), which examines companies’ price-setting dynamics and their economic expectations, including inflation expectations over 12 and 24 months, based on information collected in October, November and December 2024. Firms reported that their selling prices and the availability of inputs remained around neutral levels, while cost developments were similar to the previous quarter. Sales and profit margins showed less deterioration than in earlier quarters, with sales continuing to move closer to neutral. In terms of drivers of pricing for firms’ main product or service, sales levels and profit margins were neutral, while other factors continued to push selling prices higher, most strongly the USD exchange rate and, to a slightly lesser extent, input availability. A slightly higher share of firms expected increases in input costs and selling prices over the next 12 months, while the median inflation expectations for both the next 12 and 24 months remained at 4%.
Central Bank of Chile 2025-02-10
Central Bank of Chile releases EDEP survey with firms’ median inflation expectations steady at 4% over 12 and 24 months
The Central Bank of Chile released the Survey of Price Determinants and Expectations, highlighting firms' neutral selling prices and input availability, with cost developments stable compared to the previous quarter. Sales and profit margins showed less deterioration, with the USD exchange rate and input availability pushing selling prices higher. Median inflation expectations for the next 12 and 24 months remain at 4%.