Most recent posts from Mexico

In June 2026, bank deposits and lending in Mexico showed greater momentum, driven by time deposits and consumer credit. Growth in outstanding credit recorded its highest rate of the year (3.0% in real annual terms), while deposit growth accelerated to 3.1% in real annual terms.

The BBVA Research Big Data Consumption Indicator fell 0.4% MoM in July, posting a 4.5% YoY contraction. The weakness in spending was driven by a decline in goods consumption (-1.9% MoM), while services spending increased 1.1% MoM.

By reiterating that “it will be appropriate to maintain the reference rate at its current level” and that the current stance is “well-suited” to the macroeconomic environment, the Board signaled that it is comfortable with the policy rate at its current level.

Recent inflation data support what most Board members signaled earlier this year—that a neutral stance is enough to bring disinflation across the finish line.

The report examines water management in Mexico and the diversity of its water utilities. Nationwide, only 55% of the water supplied is billed, and 69% of billed amounts are ultimately collected. Although drought conditions improved in 2026, critical challenges remain in water metering and wastewater treatment.

In June 2026, remittances to Mexico grew for the fifth consecutive month, reaching $5,471.8 million, a 4.2% year-over-year increase. Most states registered increases. The analysis also addresses new US measures to restrict migrants' financial access.

GDP grew by 1.5% QoQ in 2Q26, bringing cumulative growth in the first half of the year to 1.2% YoY. Looking ahead, we expect the World Cup-related boost to fade, with weak domestic demand once again becoming the main driver of the outlook.