Velasco: Chilean economy is one of the least vulnerable to financial collapse

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SANTIAGO.- Minister of Finance, Andrés Velasco, has stated again today that the economy of Chile is "one of the least vulnerable to the financial collapse", referring to the tenuous situation that a large part of the world is facing.

In statements made to ADN Radio, the head of Finance explained that in Chile the financial market is operating with complete normality.

With respect to the potential economic threat to Chilean citizens, especially to pensioners, Velasco asserted that "a large majority of the AFP members are subscribed to fixed-income funds, in other words to bonds, and few to none to market shares. This is why the impact is negligible".

"Obviously, as interest rates rise or as the stock exchanges shift, some secondary impact will be felt in Chile, but these modifications have been limited and I emphasize that ours has been one of the most stable financial markets amid the complications in the United States, Europe and Asia" added the Minister.