The national flag flutters atop the Bank of Mexico building in downtown Mexico City January 23, 2015. REUTERS/Edgard Garrido
MEXICO CITY (Reuters) – Over a year into the COVID-19 pandemic, Mexico’s financial system has demonstrated resilience and has a solid overall position that will contribute to the economic recovery, the central bank’s financial stability report said on Wednesday.
Bank of Mexico’s stress tests of the financial system reveal the Mexican banking system as a whole has the needed levels of capitalization to allow it to face six different simulated scenarios for the economy in the report.
However some banking institutions, representing a low percentage of system’s total assets, could have difficulty maintaining minimum levels of capitalization required in certain adverse scenarios, said the biannual report.
“The Mexican financial system has continued to show resilience and a generally solid position, characterized by capital and liquidity levels above the applicable regulatory minimums,” said the bank.
The Bank of Mexico said the outlook for Mexico’s economy has improved in line with better prospects for world economic growth. But it said that outlook was uncertain due to the evolution of the pandemic and the possibility of an uneven recovery.
Mexico’s economy shrank by some 8.5% last year, the sharpest slump since the 1930s. Mexico is expected to recoup some of that in 2021, with the government forecasting 6.5% growth.
(Reporting by Anthony Esposito; Editing by Cynthia Osterman for Reuters)
Source: Reuters
Comments
more recommended stories
Two Canadian tourists dead after shooting inside Xcaret theme park in the Riviera MayaA man shot three guests of.
The tourism sector is a key engine of economic recovery for YucatanThrough these projects and actions in.
Mexico’s Pemex takes ownership of Deer Park refineryMexican state-owned oil company Pemex took.
Tourist dies after falling from a sixth floor in a residential complex in CancunTragedy in an exclusive residential area.
European Union condemns murders of journalists in MexicoThe delegation of the European Union in.
What are the penalties for spreading intimate photographic material online in Yucatan?So far, the Prosecutor’s Office has.
Ever heard of “Dry January”?Nearly two years into a pandemic,.
Imminent ecocide on Holbox Island… What are the authorities doing about it?The revelation of the expert opinion.
Red grouper at risk due to overexploitation on the Yucatecan coastsThe lack of adequate inspection and.
76% of Mérida businesses register cases of COVID-19 among employeesCCE Yucatan President Fernando Ponce Díaz.
Leave a Comment