Mr Pinera not only faces the challenge of reconstruction, but takes over from a highly popular outgoing leader.

Michelle Bachelet leaves office with a record 84 percent popularity rating despite criticism of the government's slow reaction to last month's disaster.

Mrs Bachelet, Chile's first woman president, was constitutionally-barred from seeking re-election.

On Friday, Mrs Bachelet dismissed the head of the navy's Oceanography Service for failing to provide a clear warning of the tsunami.

Meanwhile, Chile's disaster management chief has resigned over the response.

Carmen Fernandez is the second Chilean official to leave her post in the aftermath of the February 27 quake and ensuing tsunami that killed close to 500 people.