HR ratings lowers economic growth perspective for Mexico in 2019

CDMX (HR Raitings).- HR Ratings has declared that the growth for the Mexican economy in 2019 will go from 1.9 to 1.7, as a result of a non-optimistic outlook of the economic activity.

This decrease is based on a deep deceleration of consumption regarding domestic demand, and a minimum to non-contribution from investment, however in foreign trade, exports are expected to remain growing but at a more gradually pace than in 2018, as a result of a slowdown in the United States, but remaining at an estimate of 2.5 percent.

The evaluation agency mentions that the Gross Domestic Product for the fourth quarter of 2018, issued by the INEGI, of 1.9 percent, already shows the signs of deceleration.

The consumption and investment indicators will be affected by a restrictive monetary policy by the Bank of Mexico (Banxico), which will maintain high rates in the first half of the year. However, due to lower inflationary pressures and the economic slowdown, HR Ratings considered that Banxico will relax its monetary stance by placing a policy rate at 7.75 percent by the end of the year.

HR Ratings de México is the only Mexican rating agency of international quality, which offers an alternative to the national financial market, in order to improve the competitiveness and transparency of the economic and financial sector.

 

The Yucatan Times
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