Economics: The data released in July shows the economy remains stagnant

MEXICO - Report 28 Jul 2025 by Mauricio González and Francisco González

The IGAE for May showed a 0.4% yoy uptick but on average, from January to May 2025, the Mexican economy showed no growth. The public finance report for that same month shows some apparent strength thanks to robust income tax and VAT collections alongside spending and debt reductions. However, the fiscal deficit target of 3.9% of GDP remains out reach. This coming Wednesday’s preliminary GDP report for the second quarter should shed additional light on the direction the economy is taking.

Regarding consumer prices trends, for the first two weeks of July inflation fell 96 basis points to 3.55% yoy, down from 4.51% in the first half of June, largely due to a 401-basis-point drop in the non core rate, which fell to 1.24%. And retail sales rose an annual 2.5% in May, bouncing back from a weak April. However, such gains are potentially jeopardized by the ongoing erosion of wholesale sales, which fell -7.8% in May.

Now read on...

Register to sample a report

Register
Sign-in
Forgot your password?
Copyright 2025 GlobalSource Partners. All rights reserved. This report is prepared for GlobalSource Partners’ clients and may not be redistributed, reproduced, stored in a retrieval system, retransmitted or disclosed, in whole or in part, or in any form or manner, without the express written consent of GlobalSource Partners. This report is distributed simultaneously to our website and other portals used by GlobalSource Partners. The information herein was obtained from various sources and is believed to be reliable but GlobalSource Partners does not warrant its completeness or accuracy. Neither GlobalSource Partners nor any Country Analyst, officer or employee accepts any liability whatsoever for any direct, indirect or consequential damages or losses rising from any use of this report or its contents.