Mexico’s economy grows 4.3% annually in August, but is far from pre-pandemic levels

But according to seasonally adjusted numbers, excluding situational and calendar factors, the IGAE is down 1.6% from the previous month.

The industrial sector advanced 0.4%, while the services sector declined 2.5%. Agriculture decreased by 2.4%.

IGAE fell 1.6% m/m in August 2021, its second decline in 3 months, showing an initial downtrend moving away from its pre-pandemic level. “It was -4.5% lower than the level recorded in January 2020,” Inegi President Julio A. Santaella said on Twitter.

IGAE is a preliminary indicator of different sectors that shows the direction or direction that the Mexican economy will see in the short term.

In the face of the covid-19 pandemic that is piling up Nearly 3.8 million cases and more than 286,000 deathsThe fourth largest in the world, Mexico suspended non-essential activities in April and May 2020, with a cautious economic reactivation plan since June.

The Mexican economy fell 8.2% in 2020, its worst contraction since the Great Depression of 1932.

Mexico’s GDP grew by 2.1% in 2018, but contracted by 0.3% in 2019.

In the first half of this year, The economy grew 6.9% over the same period the previous year.

For this year, the government and analysts estimate growth of at least 6% for Mexico, driven in particular by foreign trade and the recovery of the United States.

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