After several years of innovation – notably the advent of new investment vehicles and the arrival of a second bourse – alongside the change in government at the end of 2018, the coming years are likely to be characterised by consolidation. Domestically, uncertainty around sectoral policies – specifically in energy, infrastructure and banking – of the administration of President Andrés Manuel…
Since 2013 Mexico has achieved significant agricultural export growth, reversing a trade deficit in agricultural products that almost reached $5bn in 2012. In the years ahead Mexico’s government will continue to support existing agricultural activity while also looking for new ways to address inequality between large-scale mechanised farms and small-scale family-run growers, as well as regional…
Despite significant progress in recent years, Mexico’s ICT sector faces certain challenges. While the 2013 reforms opened the market up to competition and investment, legislation still needs to be improved so that Mexico can fully take advantage of opportunities in the digital economy. GSMA recommends Mexico build more municipal-level antennae, lower annual spectrum fees and incentivise infrastructure…
Over the past decade, Mexico’s tourism industry has shown steady expansion, growing every year since 2011 despite security concerns and travel warnings. The 41.4m tourists that visited Mexico in 2018 reflect a 5.5% increase from the number of visitors in 2017, when the government estimated 39m foreign tourists entered the country. Tourists are increasingly venturing out of the traditional tourist…
Chastened by a credit boom and bust during the first half of the 1990s, the authorities have reformed, liberalised and privatised the banking sector while ensuring strong regulatory oversight and, in turn, relatively conservative lending practices. This explains, in part, the small size of the sector as well as the low levels of financial inclusion across the country. While the banking sector serves…
In 2018 San Luis Potosí was the eighth-fastest growing state in the country. Key growth drivers for the state economy include the automotive, manufacturing, agriculture and tourism sectors. Traditional industries have continued their strong performance into 2019, while new sectors are emerging that are aimed at diversifying the state’s economic offer. Collaboration with other states, coupled with…
Analysts are expecting 2019 to be the fourth successive year of economic deceleration, with the IMF forecasting growth will fall to 1.6% in 2019 before accelerating modestly to 2-3% over the medium term. Some risks to growth include the continued slowdown of the US economy, to which Mexico’s fortunes are closely tied, and the rising uncertainty generated by global trade tensions. However, given…
Strategically located between the Americas, Europe and Asia, Mexico is one of Latin America’s largest economies, second only to Brazil. Aided by its proximity to the US market, the county has established itself as an important manufacturing and export powerhouse, due in part to extensive oil, gas and mineral reserves; public and private universities; a young population; and a booming tourism industry.…
Mexico is considered to be at the leading edge of Latin America in terms of innovation in business modelling, with a mature tech sector installed in clusters across Mexico City, Monterrey and Guadalajara. Furthermore, it has a second tier of smaller cities housing start-ups that apply technology to a number of sectors, from automotive, aviation and banking, to renewable energy and urban mobility.…
The country’s potential in this area is highlighted by its rank of 49 out of 140 countries in terms of infrastructure in the “Global Competitiveness Report 2018” published by the World Economic Forum. Despite this, between 2017 and early 2019 the sector faltered due to a slowdown in civil engineering projects and uncertainty about Mexico’s trade relationship with the US. Although uncertainty…
