Mexico’s Q3 economic activity points to 2.4% annual growth -finance ministry

MEXICO CITY, Oct 28 (Reuters) – Mexico’s financial exercise indicators within the third quarter level to financial progress consistent with forecasts of two.4% annual progress in 2022, the nation’s finance ministry stated on Friday.

“The Mexican economic system continues to develop with stable macroeconomic balances regardless of a difficult worldwide surroundings,” the ministry stated in an announcement.

The ministry stated dynamic financial exercise and a robust labor market led to “constructive outcomes” in tax assortment, placing it on monitor to satisfy year-end estimates.

It additionally stated financial exercise was propelled by gross mounted funding, particularly in nationwide equipment and tools and residential building.

Nevertheless, shopper costs saved rising on account of elements corresponding to excessive uncooked materials costs and droughts and rains in numerous components of the nation.

Mexico’s public debt stood at 46.5% of its gross home product (GDP) by the top of the quarter and was on a “secure trajectory towards the top of the (present) administration,” the ministry stated.

Refinancing methods have managed to refinance an gathered $78 billion, or 14% of Mexico’s complete debt, in accordance with the ministry.

Mexico’s public debt “continued on a secure and sustainable path (by the top of the quarter) because of prudent fiscal coverage and the implementation of assorted debt administration operations,” the ministry stated.

The nation’s fiscal deficit stood at 111.252 billion pesos ($5.62 billion) in September, the ministry stated.

Mexico’s monetary system additionally remained “properly capitalized” and its credit score market continued to indicate indicators of restoration, the ministry stated.

($1 = 19.8109 Mexican pesos)

Reporting by Kylie Madry; Modifying by Anthony Esposito and David Gregorio

Our Requirements: The Thomson Reuters Belief Rules.