Rodrigo Valdes (no relation to the coffee guy) who was Chile’s finance minister has resigned on August 31. There has been a major blow to Chile’s government leading up to the elections for a country president that are coming in November.
The mass exodus has triggered the peso currency to grow stronger. Speculation continues to increase that is surrounding the center-right Sebastian Pinera. He is leading in the polls by a very large margin and is expected to win the elections.
“A sustained advance to faster levels of growth requires discipline and conviction in the government and the opening of new spaces where the private sector can use its initiative with clear and stable rules,” Mr Valdés told reporters, according to Bloomberg. “But I didn’t manage to get everyone to share that conviction.”
Rodrigo’s move was coming from the political differences with President Michele Bachelet. Bachelet blocked a two and a half billion dollar iron ore project in northern Chile. This pause was based on environmental reasons earlier in the month. Values will be replaced by former finance minister, Nicolas Eyaguirre.
Values is an MIT-educated economist and has worked at the IMF. He’s been very well-respected by the markets. He was also joined by his deputy Alejandro Micco as well as the economy minister Luis Carlos Cespedes.