Mexico’s economy grows 3.1 percent in 2022

Puerto Vallarta (PVDN) - Mexico's economy grew 3.1 percent during 2022, slightly better than the previously estimated 3.0 percent, according to revised Gross Domestic Product (GDP) data, published this Friday by the National Institute of Statistics and Geography (INEGI).

During the past year, Mexican activity faced an adverse outlook due to high inflation and the relocation of foreign companies to Mexico, which, according to analysts, could be a growth engine in the coming years.

The economy grew 0.5 percent in the fourth quarter, which, although it represented slight growth, showed signs of deceleration for the third consecutive period. Also, it was better than the 0.4 percent previously forecast.

In addition, Inegi highlights that, in the fourth quarter of last year, at an annual rate, GDP grew 3.7 percent in real terms. This growth corresponds to the comparison between the fourth quarter of 2021 and that of 2022. The data was above the timely data, which was 3.6 percent per year.

The data for economic growth in all of 2022 published this Friday, of 3.1 percent, is very similar to that released by the Inegi corresponding to the timely estimate of GDP, which was expected to be 3 percent at an annual rate.

Market expectations point to a slowdown in growth in 2023, and it would range from a contraction of 1.0 to a growth of 1.7 percent, with a point estimate of 1.1 percent, according to the most recent Citibanamex survey.

Of the institutions consulted, the most optimistic and that see a growth of 1.7 percent this year are GBM and Masari Casa de Bolsa.

While Bursametrica forecasts a contraction of 1.0 percent this year.

From the Treasury, which has the most optimistic forecast, they see a 3.0 percent increase in the economy for 2023.

Meanwhile, the Mexican Institute of Finance Executives (IMEF) estimates that the Mexican GDP will have a growth of 1.2 percent in all of 2023, a year that will be marked by economic weakness.