Money saved by Mexicans in a fixed term increases, thanks to high rates: expert

The restrictive policy that Banco de México (Banxico) is applying to adjust inflation expectations has begun to have an evident impact on the savings of Mexican residents, explained the director of economic research at thinklab Saver, Luis Pérez Lezama.

Fixed-term money saved in banks began to grow gradually from 2021, probably as a result of the upward trend in rates, he noted.

The Saver expert specified that the so-called M2 is made up of promissory notes with payable yields at maturity and are long-term, such as Cetes and bank money where credit and popular savings entities are involved, as well as credit unions, he emphasized, “but we are talking of long holdings that also includes debt investment funds”.

Banxico statistics show that M2 held by residents stood at 10.7 trillion pesos in September 2021 and in November 2022 it ended at 12.1 trillion pesos; This is the most recent data published by the central bank

In the disaggregated statistical information, they detail that term deposits went from 4.8 trillion pesos in September 2021 to 5.5 trillion pesos in November of last year.

Banxico itself carried out an analysis of this behavior in its Financial Stability Report released in December.

There, they said that term deposits began to show some recovery from 2021, particularly investments in individuals and continued to grow until the third quarter of 2022. From then on, it would report a reduction in its levels that is not yet captured by the updated figures disclosed by Banxico, said the specialist.

sight capture

In the same Banxico analysis, they explain that the average demand deposit between May 2020 and September 2022, in real terms, showed an increase of 17% compared to the average for the period from January 2018 to April 2020.

While the average term deposits in real terms for the period from November 2020 to September 2022, presented a 13% drop compared to what was observed in the period from January 2018 to October 2020.

ymorales@eleconomista.com.mx