The Bank of Mexico has raised its GDP growth forecast for this year from 1.1% to 1.6%, citing economic strength as the main reason for the adjustment.
The Bank of Mexico (Banxico) has announced an increase in its GDP growth forecast for the Mexican economy in 2026 from 1.1% to 1.6%. This adjustment reflects a range between 1.0% and 2.2%, an increase from the previous estimate of 0.4% to 1.8%. Victoria Rodríguez, the central bank governor, stated that this revision is primarily due to the economic strength observed at the end of last year, referring to it as an 'arithmetic effect'.
In the quarterly report for October-December 2025, Rodríguez emphasized that while an expansion of economic activity is anticipated, it would be moderate, indicating that there will be lingering slack conditions in the economy. The central bank anchors its optimism on the gradual increase in private consumption, which is expected to drive growth alongside positive export behaviors. These factors are recognized as the primary engines for economic activity this year.
The implications of this upward revision suggest a cautiously optimistic outlook for Mexico's economy, driven by internal consumption and exports, amidst expectations of moderate growth. It points to a resilience in the economic landscape that could influence both policy decisions and market confidence moving forward.
