Rating agency Moody’s Ratings affirmed Chile’s long-term sovereign rating in local and foreign currency at “A2,” with a stable outlook. With this decision, the three leading international rating agencies maintain their assessments of Chile with favorable outlooks, following reaffirmations from S&P Global Ratings at “A” and Fitch Ratings at “A-.”

In its report, Moody’s noted that “the Government’s early measures provide credible evidence of its commitment to fiscal consolidation and of its willingness to bear short-term political and economic costs to contain spending.” It also stressed that, “after several years of missed fiscal targets, the Government’s measures are helping to restore the credibility of fiscal policy.”

Among the actions highlighted by Moody’s are the 3% adjustment to ministry spending applied in March, the start of collection of delinquent student loans from higher-income taxpayers—with expected revenues of USD 200 million this year and up to USD 300 million in 2027—and the proposal to limit public spending growth to 1.5% in real terms in the 2027 Budget.

The agency also highlighted budget execution results for January through August, a period in which public spending grew 1% in real terms and revenues rose 7.7%, reducing the cumulative deficit from 1.6% to 0.7% of GDP compared with the same period of the previous year.

Looking ahead, Moody’s expects gradual fiscal consolidation and lower financing needs below the line to stabilize public debt around 43% of GDP, below the prudential limit of 45%. The agency cautions, however, that the sustainability of the fiscal adjustment must be demonstrated over time.

Beyond its assessment of the Government’s fiscal commitment, the agency highlighted investment-promoting measures contained in the National Reconstruction and Economic and Social Development Law, including the gradual reduction of the corporate tax rate from 27% to 23% by 2029, and initiatives to deepen and modernize the capital market, broaden financing alternatives, facilitate the participation of foreign investors, and improve access to mortgage credit.

Moody’s also noted the significant increase in the pipeline of planned investment, particularly in mining and energy, and the acceleration of environmental approvals for projects in recent months.

Moody’s expects greater private investment and the normalization of mining production to support a recovery in economic growth from 2027. It also recognized Chile’s strong institutional framework and its competitiveness in industries that benefit from robust global demand.

Chile’s Credit Ratings in 2026

With Moody’s affirmation, the three leading international agencies maintain Chile’s sovereign rating with a stable outlook, a favorable signal for the country’s international confidence.

In September, S&P Global Ratings reaffirmed Chile’s rating at “A” with a stable outlook and emphasized that “authorities have demonstrated a commitment to fiscal moderation.” The agency projects that the general government deficit will decline from 2.6% of GDP in 2025 to 1.4% in 2029, supported by the fiscal consolidation process and favorable copper prices.

That same month, Fitch Ratings affirmed the rating at “A-,” also with a stable outlook, highlighting the country’s institutional strength and the credibility of its macroeconomic policies. Fitch estimates that public debt will stabilize around 43% of GDP, well below the 59% average for “A”-rated countries, and reported a record investment pipeline of USD 95.1 billion for 2026–2030.