During the year of government transition in Mexico, the Gross Domestic Product (GDP) showed a 1.2% advance, far from the 3% growth of previous years. Throughout 2024, a slowdown in investment and a weakening of consumption were observed, especially in the second half of the year, due to uncertainty over the change of government, the approval of reforms, and the return of Donald Trump to the presidency of the United States.
The industry grew only 0.1%, compared to 3.5% the previous year, while agricultural activities fell by 2.1%, in contrast to the 2% growth the year before. Key sectors such as construction, manufacturing, and services showed less dynamism, contributing to the uncertainty and downside risks in economic forecasts.
In contrast to the pessimistic outlook of the Bank of Mexico, President Claudia Sheinbaum stated that 2025 will be a good year for the economy. However, in 2024, economic growth was below expectations, marking the first decline since the third quarter of 2021. Agricultural, industrial, and service activities experienced a widespread slowdown.
In 2024, service activities were the engine of the economy with a growth of 2.1%, although they showed a deceleration compared to the previous year. The Ministry of Finance and Public Credit adjusted its GDP growth forecast between 1.5% and 2.5%. The industry deepened its slowdown, closing the year with a 1.4% decline, below market expectations.
The National Institute of Statistics and Geography (INEGI) confirmed a GDP growth of 1.2%, below market consensus and previous estimates. The economy slowed down especially in the last quarter of the year, with a growth of 0.5% compared to the previous year and a contraction of 0.6% compared to the previous quarter.
