Mexican economy is slowest in LA due to lack of investment: Moody’s

after effect covid-19 pandemicAnd recovery Economie Mexican It was one of the slowest countries compared to other countries in Latin America, the agency said. Moody’s.

Mexico’s economic recovery has been slower than others Large Latin American economies Because Stimulus Finance Limited And the persistence of political uncertainty, which impeded the recovery of private investment.

In its sovereign outlook for Latin America, Moody’s indicated that Mexico and Central America will benefit in 2022 from strong growth in the United States and strong cash flows. Transfers that have prevailed in recent months.

So far, the agency expects that Economie Mexican Closing 2021 with a growth of 5.5% and next year 3%.

According to the document, the epidemic has increased social tensions and political risk In the region to generate pressures that will complicate public financial management. In this sense, countries that have extensive social safety nets and adopt more effective public policies will be in a better position to manage these conditions and effectively address the challenges they face.

“In countries with relatively high spending on social programs such as Chile and Colombia, appropriate targeting of vulnerable groups This is the case for Brazil. Mexico and Uruguay, governments will be in a better position to extend existing social programs to meet social demands.”

Overall, after a strong rebound in 2021, Moody’s Expect more moderate economic growth rates in the Middle East major economies Latin America for the next year, the level Gross Domestic Production In most countries it has reached levels similar to those observed before the pandemic during 2022.

He added, “Moody’s expects a reduction in the fiscal deficit and a gradual stabilization of debt, while the fiscal measures applied to counter the effects of the epidemic and improve the performance of government revenues are gradually withdrawn.”

Read also: Business leaders ask leaders of Mexico, the United States and Canada to fully implement T-MEC

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