The Central Bank of Chile released the Survey of Price Determinants and Expectations (EDEP), which examines firms’ price-setting dynamics and economic expectations, including inflation expectations over 12 and 24 months. The survey results, collected during November and December 2024 and January 2025, show the median inflation expectation remains at 4% at both horizons. Firms reported sales continuing to recover and moving into a neutral zone, alongside selling prices and input availability, while costs showed slight increases and profit margins were broadly unchanged versus the previous quarter. For the main product or service, sales levels and profit margins remained neutral, but other factors continued to push selling prices upward, with similar pressure from costs and input availability and a notable increase in the influence of the US dollar exchange rate. The share of firms expecting increases in input costs and selling prices over the next 12 months was unchanged.
Central Bank of Chile 2025-03-05
Central Bank of Chile publishes EDEP survey with firms’ 12- and 24-month inflation expectations holding at 4%
The Central Bank of Chile released the Survey of Price Determinants and Expectations, revealing median inflation expectations at 4% over 12 and 24 months. Firms reported sales recovery and neutral profit margins, with selling prices pressured by costs, input availability, and the US dollar exchange rate. The proportion of firms anticipating higher input costs and selling prices in the next year remains unchanged.