The International Monetary Fund believes that Mexico’s economy is growing at a steady pace

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The International Monetary Fund believes that Mexico’s economy is growing at a steady pace

Mexico's economy is growing

Mexico's economy is growing

According to the World Economic Outlook, which was presented to the press this week in Washington DC as it is the headquarters of the International Monetary Fund (IMF). the institution that drafted the report.

According to the institution and from Washington DC, the upswing in economic activity is gaining momentum worldwide. In 2016, the worst moment of the world economy was recorded in growth, this will change by the end of this year and by the beginning of 2018, according to experts’ expectations.

Regionally, the WEO report states that South America, which is the region producing mainly raw materials, will grow by 0.6% and 1.6% by 2017 and 2018 in terms of actual GDP respectively. Central America will do the same, during the same periods and indicator, by 3.8% and 3.9%; The Caribbean by 2.8% and 4.4%.

On the other hand, as far as one of the largest and most important economies in the region is concerned, according to what is explained in the report, the success of it is not following the general line of the region, as it is facing more structural challenges, as Maurice Obstfeld, the IMF’s Economic Adviser, said.

International Monetary Fund IMF

The International Monetary Fund (IMF)

The minister also clarified that the analysis of the Governor of the Bank of Mexico, Agustín Carstens, presents with an informality and a weakness in the labor market, he also indicates that the great advances that have been seen can continue to be seen within the country.

In addition, the counselor is committed to ensuring good negotiations are made and maintained without any kind of setbacks and that they reach an understanding with improvements for the country. This is something the Aztec country has been working on since the beginning of this year.

According to the updated WEO October report, the agency projects that the Mexican economy will grow by 2.1% in 2017, which is two tenths higher than the July update, according to El Economista of México.

When the upward revision of GDP expectations was made, there was a marked improvement in investor confidence in the market, despite the uncertainty surrounding the NAFTA renegotiation.

The tip. For the agency, the United States, the largest economy on the planet, will be the engine of global productive activity. For the North American country, the IMF estimates an expansion of 2.2% and 2.3% in 2017 and 2018 respectively; adding a downward adjustment from WEO last April: 2.3% and 2.5% respectively.

According to the Fund’s diagnosis, the conditions are not given to expect a further increase in Federal Reserve rates for the remainder of the year and it will be until 2018 when they will increase revenue by 75 basis points.

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