UPDATE 1-Chile economy beats forecasts in Q3 as spending rebounds

miércoles 18 de noviembre de 2015 08:24 GYT

(Recasts, adds details from bank statement)

SANTIAGO Nov 18 (Reuters) - Chile's third-quarter gross domestic product growth beat forecasts as increased government and household spending boosted demand in the top copper exporter.

GDP grew 0.4 percent from the second in seasonally adjusted terms, the central bank said on Wednesday. That compared with a forecast of 0.3 percent from economists in a Reuters poll.

On an annual basis, third-quarter growth was 2.2 percent, versus forecasts of 2.1 percent.

Economic growth slowed to a five-year annual low of 1.9 percent in Chile in 2014, curbed by a slowdown in mining investment. The bank has said the economy should gradually rebound but has warned that depends largely on sustained demand from top trade partner China.

With copper prices sliding to multiyear lows and strikes affecting production, mining activity declined in the quarter, but the bank said this had been outweighed by growth in the services, communications and wine sectors.

Domestic demand grew 3.6 percent in the quarter from a year ago, boosted by household and government spending as well as an uptick in investment, the bank said. (Reporting by Rosalba O'Brien; Editing by John Stonestreet and Lisa Von Ahn)