Key facts
- Mexico's economy grew 1.4% in the second quarter from the previous three-month period.
- This marks a rebound from a revised 0.3% contraction in the first quarter.
- Primary activities, including farming, fishing, and mining, led growth with a 2.4% expansion.
- The economy expanded 2.1% year-over-year in the second quarter.
- Aggregate demand rose 1.4% quarter-over-quarter, reversing a 1.1% contraction in Q1.
- Private consumption increased by 1.2% on the quarter.
Mexico's economy demonstrated a significant rebound in the second quarter, growing by 1.4% compared to the preceding three-month period, according to data from the national statistics agency INEGI. This recovery follows a revised contraction of 0.3% in the first quarter.
All three main economic sectors tracked by INEGI registered growth during the second quarter. Primary activities, which encompass farming, fishing, and mining, led the expansion with a notable 2.4% increase. The overall annual growth for the second quarter stood at 2.1%.
Further analysis indicates that aggregate demand rose by 1.4% quarter-over-quarter, reversing a 1.1% contraction experienced in the first quarter. On an annual basis, demand edged into positive territory at 0.3%, a shift from the 0.2% decline recorded a year earlier. Private consumption, a key driver of the Mexican economy, improved by 1.2% on the quarter, a marked change from the 0.4% contraction in the prior period. However, annual private spending remained slightly negative at -0.4%, suggesting continued caution among households due to high borrowing costs and recent cooling inflation.