MEXICO CITY, MEXICO--(Marketwired - May 25, 2016) - Renowned businessman and adviser, Julio Cesar Diaz Witwicki reveals that the Chilean economy is more robust than what has been previously forecasted by experts. The brighter outlook provides remarkable opportunities, especially in the long-term. He identifies powerful financial indicators and encourages investors to take a deeper look at the potential of this dynamic South American nation.

The country's GDP grew by 2.2 percent in the fourth quarter of 2015, driven by solid performance in the services sector. Manufacturing also rose and retail sales have been steadily increasing. The figure was largely unexpected by analysts who had placed end-of-year forecasts lower. The 7.2 percent rise in wages from 2009 to 2015 is a compelling sign that output will continue to increase. Witwicki, who is an expert in business cycles, affirms that rising wages are reflective of better productivity, a factor that will bolster GDP growth even when other indicators are weak. He also expounds on an overlooked improvement in Chile; the government has recently taken huge steps in improving corporate governance. Greater transparency and accountability cultivates a business climate of trust and sets a higher standard for quality and reputation, which leads to more efficient business transactions.

Julio Cesar Diaz Witwicki is confident that the government's economic growth forecast for 2016 of 2.75 percent is achievable. The first quarter, which saw a modest growth rate, may be more a result of the slow global economic recovery rather than the internal economic landscape of Chile. The inflation rate, while not yet at the 3 percent target set by the central bank, is far from volatile. March 2016 surveys of the price level found a slight short-term increase, which is expected to anchor long-term inflation, stabilize the currency, and boost global confidence in the economy.

Copper prices, which for the preceding six years have been decreasing, are behind much of the negative sentiment surrounding Chile. Copper accounts for one-fifth of the country's GDP and is largely responsible for the prosperity found in the South American nation. While the low demand for this metal has been a problem over the past several years, Julio Cesar Diaz Witwicki informs that the current situation is actually a reason to expect the economy to make a surprising comeback. First, when prices are low for a sustained period, then some firms are forced out of the market, traditionally the most inefficent. This reduces competition for the companies that are able to survive the downcycles. Chile has one of the strongest copper industries in the world. Many businesses did suffer, but it is the Chilean copper mines that are the most suited to thrive when the prices rebound and the market revives. Fewer businesses, means an inevitable shortage, which will drive prices up. This is already starting to happen with copper futures making notable jumps. A final factor impacting copper prices is the U.S. dollar. As the Federal Reserve continues to lower expectations of an interest rate increase, the value of the American currency goes down. This is good news for copper, which is priced in dollars; a weaker greenback makes the metal a more attractive investment. Witwicki believes that soon Chile will once again be viewed as one of the most dependable South American economies.