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Significance

The new government will bring a much-needed easing of tensions following the widespread protests that met the short-lived presidency of Manuel Merino. Sagasti should be able to count on support from Congress and himself avoid impeachment. His cabinet is technically competent. The issue of constitutional reform is likely to gain salience over the period of election campaigning.

Impacts

The economy will revive in 2021, but not sufficiently to offset the sharp fall this year.

Plans to draft a new constitution in Chile will add to pressures for constitutional reform.

The proliferation of presidential candidates means the elections will go to a second round.

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