Mexico: Economic activity edges down in May
June 26, 2012
In May, economic activity increased 4.1% over the same month last year, according to the IGAE (Indicador Global de la Actividad Economica). The figure came in below the 4.8% increase observed in April (previously reported: +4.7% year-on-year) but was in line with market expectations. The moderation was broad-based, with all sectors expanding at a slower pace compared to the preceding month. A month-on-month comparison suggests a sharper deterioration, as economic activity dropped 0.36% in May, which contrasted the 0.35% expansion seen in April. Meanwhile, the trend remains stable, with annual average growth in economic activity remaining unchanged at April's 4.3%. In its latest inflation report from May, the Central Bank projects the economy to expand between 3.25% and 4.25% this year.