Conservative Sebastián Piñera started his second term as Chile's president on March 11 with a pledge to restore economic growth after years of stagnation under his predecessor, Michelle Bachelet, Reuters reported.
In his inaugural address, Piñera vowed to end poverty and make Chile a developed country within a decade, with a policy-making approach based on gradual change and consensus, according to the report.
"To make progress on all these goals, it is fundamental we counter the stagnation of recent years, restoring fiscal equilibrium as well as our leadership, dynamism and ability to grow," said Piñera, who was elected to the presidency in December 2017 after first holding the post from 2010 to 2014.
During his first term, the Chilean economy grew at an average of 5.3% a year amid the government's pro-business policies and higher prices for copper, the country's main export, according to The New York Times.
Fitch Ratings said in a March 12 report that Piñera's return could boost economic confidence, though the upside for growth remains unclear. The rating agency said major reform proposals to drive investment are limited, while those already floated, such as a corporate tax cut, face fiscal and political challenges. Piñera's center-right coalition will lack a majority in Congress.
Fitch expects Chile's real GDP to grow about 3% in 2018-2019 due to higher copper prices and improving confidence, following an estimated 1.6% expansion in 2017.
