Mexico: Economic activity maintains pace in February
April 23, 2015
In February, the monthly economic activity indicator (IGAE) reported by INEGI increased 2.3% over the same month last year. The reading matched the revised 2.3% increase recorded in January (previously reported: +2.0% year-on-year) but fell short of the 2.4% expansion the markets had expected. Meanwhile, the trend in economic activity continues to improve: the 12-month average growth in economic activity rose from 2.2% in January to 2.3% in February, which is the highest in 20 months.
The increase in February reflected an acceleration in the industrial and services sectors that was mitigated by sharp slowdown in agriculture.
Sequential data, however, do not corroborate the virtually stable print suggested by the annual data. Economic activity contracted a seasonally-adjusted 0.03% over the previous month in February, which contrasted the 0.38% rise tallied in January.
Author: Ricardo Aceves, Senior Economist