• HISTORIC: Mexico recorded its worst three-month drop in Gross Domestic Product (GDP) falling 17.1% in seasonally adjusted terms during the 2020 second quarter reflecting the impact of the coronavirus lockdown, final figures published by Mexico’s statistics agency (INEGI) show.
• DECADE: “To put in historical context the contraction of Mexico’s Gross Domestic Product during the Q2 2020’s lockdown…we need to go back 10 years to see the same level of GDP”, said Julio Santaella, the head of INEGI, while presenting the most recent economic data via Twitter.
• PROJECTIONS: With the International Monetary Fund (IMF) projecting Mexico’s GDP to plummet 10.5% in 2020, economic activity saw some relief with June’s preliminary data recording an 8.9% recovery (in seasonally adjusted terms) but with analysts warning the process will be slow.
• RECOVERY: “(Economic) activity partially rebounded in June, reflecting higher external demand, the reactivation of some industries that were considered essential, as well as a less strict lockdown and improvements in employment”, Alejandro Saldaña, chief economist at Mexico City-based BX+ bank, wrote.
