American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Business

Mexico’s GDP reaches highest growth in over two years with 1.1% rise in Q3 2024

by admin November 23, 2024
November 23, 2024
Mexico’s GDP reaches highest growth in over two years with 1.1% rise in Q3 2024

Mexico’s economy posted its fastest growth in two and a half years, expanding by 1.1% in the third quarter of 2024 compared to the previous quarter, according to INEGI, the country’s national statistics agency.

The figure slightly outpaced the 1.0% forecast by economists surveyed by Reuters, signaling that Latin America’s second-largest economy is regaining momentum despite challenges.

Strong rebound in primary sector

The primary sector—comprising agriculture, fishing, and mining—led the recovery with an impressive 4.9% growth in Q3, rebounding sharply from a 0.2% contraction in the previous quarter.

This resurgence highlights the sector’s critical role in the economy, particularly amid external pressures such as volatile weather and fluctuating global commodity prices.

Meanwhile, the secondary sector, which includes manufacturing, grew by 0.9%, improving from the 0.3% recorded in Q2.

The tertiary sector, encompassing services, also grew by 1.1%, a significant improvement from its marginal 0.1% increase in the prior quarter.

Together, these sectors reflect a well-rounded economic recovery, driven by stronger industrial and service activities.

Annual growth stabilizes amid mixed signals

Despite quarter-over-quarter growth, annual growth slowed to 1.6% compared to the same period last year, down from 2.2% in the previous quarter.

However, this figure exceeded the 1.5% forecast in the Reuters poll, highlighting gradual stabilization in Mexico’s economy.

In September 2024, economic activity rose 0.3% year-over-year, decelerating from a revised 0.7% gain in August and falling short of market expectations of 0.5%.

Services growth slowed to 0.7%, while industrial output contracted by 0.4%, weighed down by declines in mining (-4.5%) and manufacturing (-2.3%).

However, agricultural activity rose by 1.2%, marking a rebound from a 2.1% decline in August.

Monthly, economic activity increased by 0.2% in September, surpassing market expectations of 0.1%, following a 0.2% decline in August.

Central bank’s strategic rate cuts

In a move to support growth, Mexico’s central bank, Banxico, reduced its benchmark interest rate by 25 basis points to 10.25%.

The unanimous decision reflects the bank’s confidence in easing inflation pressures and its intent to stimulate investment and consumer spending.

The rate cut, Banxico’s first in years, highlights its careful balancing act between fostering economic expansion and maintaining price stability.

With inflation gradually subsiding, the central bank has room to consider further rate cuts, potentially boosting domestic demand and enhancing Mexico’s growth trajectory.

Mexico’s Q3 growth offers a positive outlook for the economy, with solid performances in agriculture, manufacturing, and services. While annual growth rates have moderated, the resilience in key sectors and supportive monetary policies from Banxico provide a foundation for continued recovery.

The combination of sector-specific rebounds and strategic rate adjustments positions Mexico for steady progress in the months ahead, making it a key player in Latin America’s economic recovery story.

The post Mexico’s GDP reaches highest growth in over two years with 1.1% rise in Q3 2024 appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
Amazon to invest another $4 billion in AI startup Anthropic
next post
Here’s why Stellar price is surging and why XLM may slip soon

Related Posts

Walgreens plans store closures as CEO says consumers...

June 29, 2024

Key Fed inflation measure rose 2.8% in March...

April 30, 2024

CAC 40, DAX lead gains as European markets...

December 27, 2024

Here’s why the Bovespa Index and Brazilian real...

December 18, 2024

BYD Brazil site rocked by human trafficking allegations:...

December 28, 2024

Meta layoffs: workers challenge Zuckerberg’s ‘low performer’ justification

February 12, 2025

Big Food’s big challenge of keeping up with...

March 2, 2025

Tempus AI stock is cheap as Murrey Math...

September 13, 2025

About 800,000 BetterHelp online therapy customers receive refund...

May 12, 2024

Top 3 best ETFs for value investors in...

December 21, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Europe bulletin: Manchester synagogue attack aftermath, stocks close higher

      October 5, 2025
    • Evening digest: Trump sets deadline for Hamas, Canada’s slowdown, BTC rebounds

      October 5, 2025
    • Iran executes six people for alleged links to Israel, state media reports

      October 5, 2025
    • US digest: Trump’s Hamas ultimatum, government shutdown stalemate continues

      October 5, 2025
    • Japanese stocks may extend record run as Takaichi win revives ‘Abenomics’

      October 5, 2025

    Categories

    • Business (4,181)
    • Investing (2,955)
    • Latest News (2,080)
    • Politics (1,536)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved