Mexico: Economic activity gathers pace in October
January 10, 2013
In October, economic activity increased 4.3% over the same month the previous year, according to the IGAE (Indicador Global de la Actividad Economica). The figure came in well above the 1.2% rise seen in September and beat market expectations of a 3.9% expansion. The improvement was broad-based, as growth in all three main sectors - agriculture, industry and services - accelerated over the previous month. In particular, services picked-up from a weak 1.2% year-on-year increase in September to a 4.1% expansion in October.
A month-on-month comparison corroborates the acceleration suggested by the annual data, as economic activity expanded a seasonally adjusted 0.16% in October, which contrasted the 0.08% contraction registered in September. That said, the trend remained stable, with annual average growth in economic activity remaining unchanged at 4.2%.
In its latest inflation report from November, the Central Bank expects the economy between 3.0% and 4.0% this year.