Mexican economy will grow 1.1% during 2023, it will return to its normal performance: Cepal

The emexican economy will register a growth of 1.1% in 2023, which incorporates a deceleration from the 2.9% that the Gross Domestic Product (GDP) is expected to achieve this year, according to expectations of the Economic Commission for Latin America and the Caribbean (ECLAC)

This is the first time that the Commission presents a specific growth expectation for next year, which is slightly lower than the 1.2% forecast by the International Monetary Fund (IMF) and both forecasts are far from the 1.6% projected by the Organization for Economic Cooperation and Development (OECD).

During the presentation of the Preliminary Balance of the economies of Latin America and the Caribbean, the Executive Secretary of the Commission, José Manuel Salazar Xirinac, maintained that the economic activity registered in 2021 and 2022 was a rebound after the shock we suffered in 2020. ” We had extraordinary performances but in 2023 we will all return to our normality”, he highlighted.

“In 2023 we are unfortunately returning to our normality. That is why we insist so much on structural changes, that is why we have insisted that they work on the issue of inequality, growth, the educational gap, on attracting investment.

The official explained that none economy it is destined to progress without doing anything. Growth has to be built and without assuming structural issues “things can get worse.”

At the same conference, the head of ECLAC’s Economic Development Division, Daniel Titelman, stressed that they are projecting a slowdown in Mexico for 2023, which is linked to the impact of a similar process in the United States, which is the most important demand agent. for Mexico.

Both economies, United States and Mexico, They will register a slowdown but we do not see a contraction, he stressed.

“A growth of 1.1% for 2023 is positive, but low. And the economic authorities have the great challenge of improving it with structural changes that strengthen the attractiveness of investors, as the Executive Secretary has described”.

Titelman recognized that remittances to the region and to Mexico in particular have been a determinant for domestic demand and highlighted their resilience after the pandemic.

The official commented that if remittances maintain the behavior of other crises, it is expected that they will continue to enter in significant volumes, which will also be favorable for the consumption.