Mexico Economic Outlook. Fourth quarter 2020

The rebound in economic activity in 3Q20 has been higher than expected, although the pace will slow due to weak in domestic demand and a slowdown in external demand. We continue to anticipate a slowdown in inflation and lower interest rates, however we now expect these lower levels to be delayed a few months.

Key points

• Key points:
• There is still leeway for further appreciation of the peso; without significant risks to the balance of payments
• Public finances: public debt (% of GDP) will remain stable in 2021 provided that a tax reform is implemented

Authors

Geographies

Topics

Tags