Saturday, January 28, 2023

Mexico’s economic activity grows 3.3% in November

Mexican economic activity advanced 3.3% year-on-year last November, driven in particular by the agricultural sector, the National Institute of Statistics and Geography (Inegi) reported on Wednesday based on original figures.

The Inegi indicated in a statement that this increase in real terms of the global indicator of economic activity (IGAE) is the result of the annual increases in primary activities (7.2%), secondary (3.2%), and tertiary ( 3%).

In contrast, according to seasonally adjusted figures, without circumstantial and calendar factors, the IGAE fell 0.5% at the monthly rate.

Compared to the previous month, agricultural activities advanced 5.3%, but industry remained unchanged (0%), and services decreased 0.9%.

The IGAE is a preliminary indicator of different sectors that shows the trend or direction that the Mexican economy will have in the short term.

This Wednesday’s data is published a week before revealing the preliminary estimate of the gross domestic product (GDP) during 2022 in Mexico, which in the third quarter advanced 0.9% quarterly and 4.3% year-on-year, accumulating growth of 2.9% in the year.

The country had an annual growth of 4.8% in 2021 supported by the growth of the industrial sector (6.5%), the service sector (4.1%) and the agricultural sector (2.9%), an increase lower than government expectations of a rise of 6 %.

In addition to more than 7 million cases and more than 330,000 deaths, the covid-19 crisis caused a contraction of 8.2% of Mexico’s GDP in 2020, its worst collapse since the Great Depression of 1932.

Mexico’s economy grew 2.1% in 2018, but contracted 0.3% in 2019.

For this 2022, financial institutions and experts, as well as the Government Treasury Secretariat, estimate a growth of close to 3%.

More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here