Mexico will grow less than LA and the Caribbean

The Mexican economy will grow less than the average for Latin America and the Caribbean in both 2024 and 2025, according to the World Economic Outlook document. Policy shift and growing threats, published yesterday by the International Monetary Fund.

Within the framework of its annual meeting, which takes place this week in Washington, the IMF reiterates in the document that it expects growth of 1.5 percent for Mexico this year, while that of Latin America and the Caribbean would be 2.1 percent.

By 2025, the Mexican economy will grow at an even slower rate (1.3 percent), while the region will accelerate pace with a GDP of 2.5 percent.

The growth of Latin America could be driven by Brazil, whose economy will expand 3 percent in 2024. In 2025 it could grow 2.2 percent and will continue above Mexico, as will India and China, whose economies will have advanced 7 and 4.8 percent. percent in 2024, respectively, and 6.5 and 4.5 percent in 2025.

The expansion of the Asian countries will exceed that of the United States, which will grow 2.8 percent this year and 2.2 percent in 2025, according to the IMF, while the eurozone will only advance 0.8 percent in 2024 and 1.2 percent next year; The world economy will grow 3.2 percent in both years.

Global growth expected to remain stable, but at disappointing ratesadded the multilateral organization.

He noted that economic consolidation must be achieved through ambitious internal reforms that boost technology and innovation, improve competition and resource allocation, deepen economic integration and stimulate private productive investment. Although structural reforms are more urgent than ever, they often face significant social resistancehe indicated.

On the other hand, the IMF forecast that global inflation will decrease from an annual average of 6.7 percent in 2023 to 5.8 percent in 2024 and 4.3 percent in 2025, and that advanced economies will reach their goals before emerging and developing economies. . The global battle against inflation is practically won, despite the fact that price pressures persist in some countries.

It added that after peaking at 9.4 percent year-on-year in the third quarter of 2022, the headline inflation rate is likely to reach 3.5 percent by the end of 2025, below the average of 3.6 percent between 2000 and 2019.