Selected Issues Papers

Post-Pandemic Changes to Chile’s Financial Markets: Chile

By Tatsushi Okuda

February 25, 2025

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Format: Chicago

Tatsushi Okuda. "Post-Pandemic Changes to Chile’s Financial Markets: Chile", Selected Issues Papers 2025, 012 (2025), accessed March 28, 2025, https://doi.org/10.5089/9798229003124.018

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Summary

Pension fund withdrawals, rising public debt, and the Central Bank of Chile’s pandemic liquidity injections have reshaped Chile’s financial landscape. In the context of the diminished demand for local bonds, large non-financial corporations and the government relied more on foreign investors. Overall, Chile’s financial depth has diminished, and markets have become more volatile and sensitive to shocks. Restoring pension funds as well as continuing to strengthen market resilience and crisis response capabilities are essential for ensuring future financial stability.

Subject: Bonds, Corporate bonds, COVID-19, Expenditure, Financial institutions, Health, Pension spending, Sovereign bonds

Keywords: Bonds, Chile's financial markets, Corporate bonds, COVID-19, Financial depth, Financial sector stability, Global, I. Chilean pension funds, Market resilience, Pandemic liquidity injection, Pension fund withdrawal, Pension spending, Sovereign bonds

Publication Details

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