Fiscal Council Member Challenges Kast: Positive Macroeconomic Conditions Awaiting His Government

Original article: Integrante del Consejo Fiscal Autónomo contradice a Kast: su gobierno iniciará en condiciones macroeconómicas muy positivas

While the elected president promotes a narrative of fiscal crisis, experts insist that Chile will enter 2026 under the best conditions in decades.

In his address at the ICARE forum (Chilean Institute of Rational Business Management) on Thursday, January 8th, José Kast conveyed a message of financial uncertainty in Chile. This perspective contrasts sharply with experts’ forecasts, who foresee stabilization and growth for 2026. During his speech, the future president sharpened his criticism of Gabriel Boric’s administration, claiming that he will inherit a «very difficult» fiscal situation and questioning the feasibility of recent Congressional projects.

This crisis narrative is in stark contrast to analyses by Hermann González, an economist at Clapes UC and member of the Autonomous Fiscal Council. In an interview on El Mostrador’s program Al Pan Pan, he asserted that the incoming government will benefit from exceptional international momentum. According to the Valtin Consulting partner, high copper prices and declining inflation create positive macroeconomic conditions that are «hard to remember» from previous administrations. He emphasized that the economy handed over to Kast is healthy and stabilized, not in the emergency state the Republican is attempting to portray.

Addressing ICARE, Kast reinforced his narrative of institutional disorder, stating that the phase closing in Chile was marked by a «refusal to govern realistically.» He stressed the need to clarify fiscal numbers, implying that the last-minute reforms pushed by the Executive lack real support: «They will hand over a government with a very difficult fiscal situation, and we see how in these days they even try to rush through matters they couldn’t deal with over four years,» he emphasized.

However, technical data reveals a favorable scenario, with copper prices hovering near $6 per pound and significant investment beginning to recover. Despite these indicators, Kast focused his criticism on education and security management, comparing the Government’s invitation for dialogue to the signing of pardons.

Amidst this contradiction, Kast distanced himself from foreign shock models. He stated that he will not use «chainsaws» to cut public spending, asserting that each country has its own reality and that similar results can be achieved through different methods. With this, he seeks to project an image of prudence regarding speculations of drastic cuts to the state apparatus.

Finally, the elected president confirmed that he will reveal the names of his ministerial cabinet on January 20th, dispelling doubts about who will manage the fiscal crisis he emphasizes, while the economic world watches Chile’s inflation and growth figures with optimism.

Watch the full speech: