Mexico possesses significant economic advantages, yet its growth remains low. According to The Economist, despite the economy's strengths, including benefits from the USMCA agreement, a stable monetary policy, and foreign investment inflows, the country faces serious internal problems. GDP growth was just 0.8% in 2025, the lowest figure in years. Experts point to the economy's weakness, which they believe is self-inflicted. The main causes are identified as the size of the informal economy, which employs half the workforce with low productivity, and government policies that critics say weaken the economy. These measures include constitutional reforms, restricting private investment in the energy sector, and soaring government debt. Meanwhile, Mexico benefits from geopolitical tension between the US and China, which attracts investment through "nearshoring." However, these advantages cannot compensate for internal structural issues like high crime and uncertainty in the judicial system.
Mexico's Economy: Strengths and Internal Weaknesses
Despite significant economic advantages, including USMCA benefits and a stable monetary policy, Mexico's GDP growth remains extremely low. The Economist points to self-inflicted internal problems, such as the vast informal sector and government policies that weaken the economy.