Mexican economy grows 0.6% in July

“In the first seven months of the year, the IGAE has accumulated an annual growth of 1.78%, the lowest for the same period since 2020 (-10.74%)”, not counting the pandemic crisis, since 2019 when a decline of 0.14% was recorded, Banco Base said.

“Despite the growth in July, the average level of activity between November 2023 and July 2024 is below that recorded in September-October of last year, which illustrates the slowdown observed since the end of 2023,” Citibanamex commented.

“Considering that external demand remains practically stagnant, the gradual slowdown in job creation, the projected fall in public spending, and the high level of uncertainty (which would affect investment decisions), we maintain our GDP growth projection for 2024 at 1.3%, although today’s result skews the balance of risks upwards,” he added.

At an annual rate and with seasonally adjusted series, the economic indicator of economic activity increased by 2%, driven by the 12.5% ​​increase in primary activities, 2.2% in tertiary activities and 0.5% in secondary activities.

The IGAE, the institute explains, allows us to understand and monitor the evolution of the real sector of the economy in the short term.