Overview

Mexico is home to diverse history, economy and natural resources
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Geographically and culturally diverse, Mexico is the second-largest economy and second most populous nation in Latin America. The country boasts more than 11,100 km of coastline and various terrains ranging from desert to mountains to rainforests, as well as a rich cultural heritage that includes numerous well-preserved ancient indigenous cities. Mexico is also a significant producer of hydrocarbons…

Overview

Double-digit growth, commitment to international regulations puts Mexico's banking sector on steady footing
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For more than two decades, Mexico’s banking sector has been characterised by sound regulation, high capital adequacy ratios and strong profitability. Nonetheless, it is still small for an economy of its size and stage of development, as lending policy remains relatively conservative after a series of financial crises in the latter decades of the 20th century. After the so-called Tequila crisis of…

Overview

Mexico's commitment to stable economic growth allows for expansion amid challenges
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Since the mid-1990s, Mexico has undergone a remarkable structural transformation. From being relatively closed and heavily dependent on oil exports to drive growth and accrue foreign currency, the country has progressively liberalised and integrated into regional and global value chains. At the same time, oil production has been in long-term decline, while the fiscal reforms first unveiled in 2013…

Overview

Range of options in Mexico's capital markets provide attractive investment opportunities
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The Mexican peso is the second most actively traded emerging market currency, after the Chinese yuan, signalling a strong investment vehicle for the county’s assets. Its capital markets are tightly regulated, but this has not greatly hampered innovation, with a number of new financial products becoming available to investors in recent years. The sovereign bond market has been particularly well developed…

Overview

Underwriters in Mexico's insurance sector look to improve industry, reach greater penetration levels
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Given the relatively high administration costs, and low profitability, serving the insurance sector in Mexico has not traditionally been a priority for leading market players. The country can be a challenging market for insurers to operate in as it is exposed, for instance, to a full range of natural disaster risks including earthquakes, active volcanoes, hurricanes, and tsunamis. At the same time,…

Overview

Reforms, liberalisation open Mexico's energy sector to private investment and emphasise clean, sustainable energy
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Historically, Mexico is an energy powerhouse, one of the world’s most important crude oil producers, and highly dependent on those exports for economic growth, foreign currency and government revenues. At 5.2% of GDP in 2015, however, oil and gas extraction account for a smaller share of the national economy than at any time in recent history, down from about twice that level in the mid-nineties. A…

Overview

Rises in commodity prices could set Mexico's mining industry on new path
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The country has long been a global presence in the mining industry, but since 2012 falling commodity prices, coupled with increased royalty payments, have led to stagnation of both production and investment. In early 2017, however, the recovery of metals prices saw a rise in merger and acquisitions in the global mining industry, and a growing belief that a new bull market could be on the horizon.…

Overview

Strong fundamentals in Mexico allow manufacturing sector to grow despite challenges
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In 2016, as many other sectors of the economy experienced a slowdown, the Mexican manufacturing sector achieved annual growth of 1.3%. Since the enactment of the North American Free Trade Agreement (NAFTA) in 1994, the country has cemented itself as one of the world’s industrial powerhouses, providing parts and products for a range of industries, from food and beverages to automotive and aerospace.…

Overview

Investment Opportunities in Nuevo León
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Mexico ensures growth in Nuevo León in wake of stricter public financing controls Posting growth of 4.26% in 2015, Nuevo León remains well above the national average of 2.53%, with construction, transport, and financial services and insurance displaying the strongest levels of growth. Although manufacturing has experienced a slight decline in recent years, it remains the chief productive sector…

Overview

Industry and academia in Mexican state of San Luis Potosí team up to train next generation
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The boom in automotive jobs has been an important factor in bringing unemployment down in San Luis Potosí. In the last quarter of 2016 the state recorded the lowest ever unemployment level for the state and the fourth-lowest level in Mexico at 1.97%. As of January 2017 approximately 400,000 people were employed in the formal labour market. According to the Secretariat of Economic Development (Secretaría…