“S&P stressed that prudence in the management of public finances during the pandemic fostered macroeconomic and financial stability, which allowed the country’s economic indicators to perform better than other similar economies,” said Finance.
“With this rating, the 2021 reviews conclude, in which Mexico has been ratified by the rating agencies that assess its sovereign debt,” said the agency in charge of public finances.
The rating agency also indicated that a responsible management of finances and public debt is projected for the next few years, which will allow maintaining “moderate fiscal deficits and a stable debt,” said the Treasury.
S&P also anticipates maintaining the commitment to “sound, independent and timely” monetary policy decisions, in a “very robust” legal and institutional context. Around the dialogue between Mexico, the United States and Canada to strengthen supply chains and the cross-border ties in the framework of the T-MEC, S&P expects this progress and strengthening to boost investment and improve business change in Mexico.
Finally, the agency highlighted that the solid composition of sovereign debt limits “market and interest rate risks”, and that Mexico is an “active and innovative player” in global capital markets.