Chile's President Sebastian Piñera has dismissed his whole cabinet in order to form a new government and introduce social reforms demanded by protesters, Eurasia Diary reports citing BBC.
"I have put all my ministers on notice in order to restructure my cabinet to confront these new demands," he said.
It is not yet clear what form the reshuffle will take.
More than a million people joined a peaceful rally on Friday in the capital Santiago, calling for social justice.
Mr Piñera said he had heard the demands from the streets.
"We are in a new reality," he said. "Chile is different from what it was a week ago."
The president also announced that a curfew imposed in cities across Chile a week ago had been lifted.
The opposition has called for an ongoing state of emergency to end too.
At least 17 people have been killed and hundreds injured since the anti-inequality protests began just over a week ago.
Friday's march came at the end of a week of violent clashes between activists and riot police.
