S&P affirms Mexico’s “BBB” rating, expects cautious macroeconomic management amid global challenges.
The decision covers crucial periods, including the lead-up to the June national elections, the presidential transition, and the early phase of the new administration.
Mexico’s upcoming elections on June 2, 2024, will be the country’s largest in modern history, renewing the presidency and other key legislative roles.
S&P expects the future Mexican government to continue with careful macroeconomic and monetary policies.
The agency does not predict significant policy changes that could impact Mexico’s business climate or economic growth trend.
The firm emphasizes Mexico’s political stability and institutional integrity, ensuring regular government transitions over the last two decades.
President Andrés Manuel López Obrador’s term, starting in December 2018, focused on fiscal austerity, anti-corruption efforts, and enhanced social programs.
Mexico’s economy, Latin America’s second largest, grew by 3% in 2023. The Mexican government projects a 2.5% to 3.5% growth in 2024.
S&P’s rating confirmation signals confidence in Mexico’s economic stability and governance.
It influences investor sentiment and future economic prospects.
This stability is crucial for navigating upcoming electoral and global economic uncertainties, highlighting the importance of sound fiscal management and policy continuity.