Mexico Economic Outlook
November 9, 2021The economy contracted in quarter-on-quarter terms in Q3, according to a flash estimate. While the industrial and agricultural sectors recorded robust expansions, the services sector shrank sharply. This was likely due to a surge in Covid-19 cases, as well as the impact of a recent law restricting labor outsourcing by companies. Available indicators for Q4 are more positive, amid an accelerating vaccination campaign and tumbling new Covid-19 infections: Both the manufacturing and non-manufacturing PMIs rose in October, thanks to improved readings for output, new orders and employment. That said, chip shortages could be holding back car production. In politics, the president’s proposed reform to grant more state control over the electricity market has generated pushback from some U.S. politicians, who argue it violates the USMCA trade pact: A watering-down of the plan is possible ahead.
Mexico Economic GrowthIn 2022, growth is seen slowing in line with a softer U.S. economy. Moreover, chip shortages could continue to hamper car production through at least the early part of the year. Potential further Covid-19 waves and an uncertain business environment—amid the president’s attempts to increase the state’s role in the energy sector—are key risks to the outlook. FocusEconomics panelists project the economy to expand 3.0% in 2022, which is unchanged from last month’s forecast. In 2023, they see GDP growth waning to 2.3%.
Mexico Economy Data
5 years of Mexico economic forecasts for more than 30 economic indicators.
Get a sample report showing our regional, country and commodities data and analysis.
|Bond Yield||6.87||-0.24 %||Dec 31|
|Exchange Rate||18.93||-0.29 %||Jan 01|
Request a Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.
Mexico Economic News
November 11, 2021
On 11 November, the Governing Board of the Bank of Mexico (Banxico) opted to raise the target for the overnight interbank interest rate by 25 basis points to 5.00%.
November 8, 2021
Consumer prices increased 0.84% over the previous month in October, accelerating from the 0.62% increase logged in September.
November 5, 2021
Consumer confidence came in at 43.6 in October, up from September's 43.4.
November 1, 2021
Remittances summed USD 4.4 billion in September, representing a 23.3% year-on-year surge.
November 1, 2021
The Mexican Institute of Financial Executives (IMEF) Manufacturing Purchasing Managers’ Index (PMI) rose to 50.7 in October from September's 49.9.