Mexico’s economy slowed in the third quarter, contracting slightly compared to the previous three months, but still much higher than the same period last year
Mexico City-According to data released by the National Institute of Statistics and Geography of Mexico on Thursday, Mexico’s economy slowed in the third quarter, contracting slightly compared to the previous three months, but still much higher than the same period last year.
Mexican President Andrés Manuel López Obrador urged the public to “look calmly” on the impact of the economic slowdown and stated that the economy will still achieve 6% this year due to employment and foreign investment growth. growth of. He said that the number of workers registered in the social security system is now higher than before the pandemic.
The economic performance in the third quarter was 4.7% higher than the same period last year.
One day after the peso fell 1% and closed at 21.44 against the US dollar on Wednesday, disappointing economic news came. BASE Financial Group attributed the peso’s plunge to the unexpected announcement that Victoria Rodríguez Seja will be nominated to lead the central bank by Lopez Obrador after the withdrawal of Arturo Herrera’s nomination. Rodríguez Ceja is the deputy minister responsible for expenditure in the Ministry of Finance and he will face confirmation.
Coutinho wrote in a report on Thursday that Mexico’s economy is recovering from the crisis triggered by the pandemic, thanks in large part to strong economic growth in the United States, which has boosted Mexico’s exports, especially Manufacturing products.
Large remittances from Mexicans working abroad also help.
But Coutinho’s forecast of Mexico’s annual growth rate is lower than that of the president. Although demand is gradually improving, he sees potential resistance, including the government’s promotion of measures to restrict competition. After shrinking by 8.2% last year, he expects an annual growth rate of 5.3%.