The optimism of business owners and directors in the private sector has significantly decreased, reaching its lowest level in two years, according to IPADE Business School. On a scale of 1 to 10, where 1 represents no optimism and 10 is very optimistic, business optimism regarding the economic trajectory of the country dropped from 6.5 to 5.8 points between the first and second semesters. Additionally, regarding the achievement of business objectives, a decline from 7.9 to 7.2 units was observed in the same period.
Concerning the personal projects of business owners and directors, the degree of optimism also experienced a significant decrease, going from 8 to 7.4 points in the last two years. In light of these results, IPADE warned that the deterioration of Mexican business optimism negatively impacts investments, productivity, economic growth, and job creation, which is exacerbated by the onset of a new government.
According to the Business Expectations Survey conducted by IPADE, 63.2% of entrepreneurs believe it is not a good time to invest in Mexico, while only 36.8% think otherwise. This latter figure represents a decline of 17.6 percentage points compared to the same survey conducted six months earlier.
When analyzing by region, it was found that the Western part of the country is the area with the least confidence to invest, with 39.4% of entrepreneurs expressing this opinion, followed by the Central-South and Bajío with rates of 36.5%. On the other hand, the Southwest demonstrated to be the region with the greatest confidence to invest, with 49.1% of entrepreneurs perceiving favorable conditions. Additionally, the East highlighted with levels of 46.6%, the Southeast with 44.7%, the Northeast with 42.8%, and the Northwest with 40% of entrepreneurs considering that it is a good time to invest.
