Tuesday, February 19, 2002

At its monthly monetary policy meeting held today, the Board of the Central Bank decided to lower the monetary policy interest rate by 50 basis points from an annual 6% to 5.5% and to lower the rates on liquidity credit lines by the same amount each. The world situation continues the same as a month ago; the United States a little closer to recovery but other trading partners getting weaker. Argentina continues in a critical state, affecting Chilean exporters and investors in that country but neither the Chilean economy nor others of the region have suffered more than was foreseen in Janaury.