Mexico’s economy grew 0% in 2019

09/01/2020
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17:25
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Leonor Flores
Mexico’s economy grew 0% in 2019
For 2019, the new forecast went from 0.6% to 0% - Photo: File photo/EL UNIVERSAL

Mexico’s economy grew 0% in 2019

09/01/2020
17:25
Leonor Flores
Mexico City
-A +A
The World Bank also cut Mexico's growth from 1.5% to 1.2% for 2020

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The World Bank degraded the Mexican economy to zero overall growth in 2019 and cut to 1.2% its forecast for 2020 after noticing the risk of further growth deterioration.

For 2019, the new forecast went from 0.6% to 0% and for 2020, from 1.5% to 1.2%.

It also made a forecast for 2021 where it expects an increase to 1.8% and 2.3% for 2022.

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In the January edition of Global Economic Prospects, published on January 8, the organism established that the situation of its forecast will be given according to the increase of investments in Mexico.

In Mexico, growth will increase to 1.2% in 2020 since the decline of the uncertainty in legislation will contribute to investments to increase, it added.

It stressed that the bigger risk for Mexico and the group of economies in Latin America is their exposure to growth deterioration to continue.

Do you know Mexico's economic output for 2020?

While in the exterior, in particular, the risks related to trade and finance are high, it warned.

In Latin America, it is expected for regional growth to increase to 1.8% in 2020 as the biggest economies’ growth consolidates and increases the internal demand in the whole region.

According to the forecast, in 2020, the world economy’s growth will be close to 2.5% as investments and trade gradually recover from the significant weakness they showed in the past.

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Nevertheless, there is still the risk of the situation becoming worse, as asserts the World Bank in the January 2020 edition of Global Economic Prospects.

In that regard, the Vice-president of Equitable Growth, Finance, and Institutions of the World Bank Group Ceyla Pazarbasioglu said that “The growth of emerging and developing economies will likely remain low; those in charge of creating policies should take advantage of the opportunity to face structural reforms that bolster a wide base growth, an essential factor to reduce poverty.”

She added that “The measures to improve business weather, the State of law, debt management, and productivity can contribute to achieving sustained growth.”

Do you know Mexico's budget for 2020?

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