Bank of America expects Mexico’s economy to experience recession in 2023

According to a report issued by the company, Mexico’s GDP will be affected by external factors in particular raise interest rates In the United States, while at the domestic level the largest Financing costs And the energyand fiscal policy that is still somewhat restrictive, will add pressure to the economy, which is already facing uncertainty due to the difficulties that the economy is facing.North American Trade Treaty (TMEC).

Tension by TMEC

Concerns about the USMCA increased in July when the United States and Canada They requested consultations with Mexico about what they assert are violations in energy matters, which they consider discriminatory and harmful to their companies.

For its part, the Mexican government hoped for a mutually satisfactory solution for all parties and defended that no violation of TMEC was committed by the country.

Mexico’s economy grew between April and June for the third consecutive quarter and increased by 1% quarterly, despite contraction In the United States, but both are rating agency Fitch Bank Bofa sees a risk that the increased possibility of recession in the neighboring country affects the local economy over time.

On the positive side, Bank of America economists keep the outlook unchanged for the country’s central bank, BanxicoWith a final rate of 9.5% in 2022 and no cuts in 2023.