Chile's finance ministry announced that the government is abandoning President Jose Antonio Kast's campaign pledge to balance the structural budget by the end of his term in 2030, and will instead target a structural deficit of 1.5% of GDP by then, La Tercera reported June 9.

The structural deficit accounts for cyclical factors, such as copper prices and economic fluctuations. The updated fiscal targets now include a 2.6% of GDP deficit in 2026, which is estimated to gradually decline to 1.5% of GDP in 2030, down from a 1.8% of GDP deficit estimated in the first quarter of 2026, before Kast took office. The Kast administration is also estimating gross debt to reach 43.1% of GDP in 2026, 45.4% in 2028 and 46.5% in 2030, above the threshold of 45% of GDP that the government has qualified as prudent and that it has pledged to pursue.