Chile Santiago retail sales rose 3.4 pct in Nov

SANTIAGO, Dec 20 (Reuters) - Chilean retail sales in the Santiago metropolitan area rose in November for a third straight month, but the growth outlook for 2007 remained lower than growth in the prior two years.

The National Chamber of Commerce on Thursday said retail sales for the nation's capital, home to more than a third of Chile's population, rose 3.4 percent in November from the same month a year ago.

Retail sales grew 1.0 percent in October and 1.6 percent in September.

The chamber said January-November sales growth was 2.1 percent, and estimated full-year 2007 growth would be about 2.5 percent, compared with growth of 3.3 percent in 2006.

Chile's retail sales have been hurt this year by higher inflation, but Christmas season shopping is expected to boost growth to about 5.0 percent in December.

The central bank expects the economy to grow between 5.75 percent and 6.25 percent in 2007, trending toward the lower end of that range, after 4 percent growth in 2006. (Reporting by Pav Jordan; Editing by Leslie Adler)