Weekly Report - 06 October 2016 (WR-16-39)

President Michelle Bachelet last week unveiled her government’s proposed national budget for 2017. Indicative of ongoing economic pressures on the ruling left-wing Nueva Mayoría coalition government as a result of the fall in international prices of copper (Chile’s main export), the initiative proposes a 2.7% increase in overall spending compared with the previous year – the smallest increase since 2003. Bachelet maintains that the budget -which is currently being discussed by congress – will address her declared priorities of education, health and, now, security. However, it comes amid the renewed threat of protests from trade unions dissatisfied with the government’s proposed public-sector wage increase for the following year.