Forecast: New Business Lending for SMEs in Chile

The forecast for new business lending for SMEs in Chile reveals an upward trajectory. In 2023, the lending stood at 8.11 billion Chilean Pesos. Examining the data year-on-year, we can observe significant fluctuations. After a sharp increase of 50% in 2020, there was a steep decline of -25.29% in 2021, followed by a positive growth of 18.46% in 2022 and a steady rise of 5.32% in 2023. The Compound Annual Growth Rate (CAGR) over the last five years, ending in 2023, was 7.57%, indicating a stable increase at an average rate per year.

Looking ahead from 2024 to 2028, the forecasted data suggests a continued rise in lending volumes. The forecasted CAGR for this period is 3.51%, signifying a moderate but consistent growth in SME business loans. Overall, this indicates an 18.8% growth rate over the next five years.

Future trends to watch for:

• Stability in growth after the volatility seen in recent years.
• Impact of potential economic reforms and new financial regulations.
• Adoption of financial technologies (FinTech) which may streamline the lending process.
• Possible shifts in global economic conditions influencing the local lending landscape.