The 88th banking convention was inaugurated this Thursday in an environment of high uncertainty and changes for the sector. In his closing speech, Julio Carranza conveyed optimism and confidence in the sector's dynamism, despite current challenges. The outgoing president of the Mexican Banking Association (ABM) highlighted that the country will avoid recession, although with slower growth, projecting an increase in Gross Domestic Product (GDP) of just 0.2% by the end of the year.
According to ABM estimates, banking will face a slowdown in short-term credit, but a recovery is expected in line with national economic growth in the second half of the year. Carranza emphasized that annual credit continues to increase by 13.6% annually and a 7.1% increase is projected compared to the previous year by the end of the fiscal year.
At an event with sector executives, Carranza stressed the importance of publicly recognizing the performance and profits of banks, in a gesture of transparency. Additionally, he announced the signing of an agreement with the government of Claudia Sheinbaum in support of SMEs, demonstrating a friendly approach between banks and the current administration.
Regarding government requests to reduce interest rates for small and medium-sized enterprises, Carranza emphasized that the banking sector plays a crucial role in providing significantly lower financing than other sources. The presented plan also includes regulatory changes to simplify credit application processes, integration of SMEs into supply chains, and promotion of financial education.
Amid global uncertainty, Carranza reiterated his optimistic vision for the financial sector and emphasized the importance of dialogue and collaboration, highlighting joint work with the government of Claudia Sheinbaum for the benefit of the Mexican economy.
