This paper presents Mexico's Arrangement under the Flexible Credit Line (FCL) and Cancellation of Current Arrangement. Mexico qualifies for the FCL by virtue of its very strong economic fundamentals and institutional policy frameworks and record of accomplishment of macroeconomic performance and...

This Selected Issues Paper explores policy options to close gender gaps in Mexico. It analyzes policies to boost both female labor force participation and formal employment, looking at regional differences, showing how significant gains could be achieved, especially in rural areas. It also takes...

The 2023 Article IV Consultation highlights that the Mexican economy is in the midst of a broad-based expansion. Growth is expected to be 3.2 percent in 2023, led by robust private consumption and investment, with notable strength in services and construction sector, and in auto production....

The report discusses the important role of the Flexible Credit Line (FCL) in helping Mexico to survive in the fragile global economic environment. The FCL’s contribution in maintaining an orderly financial market in Mexico is noteworthy. IMF staff reaffirms their commitment toward Mexico in...

The IMF staff report on Mexico’s financial policies has been satisfactory; these policies have been said to act as a buffer against risks that erupted during the global economic crisis. Mexico has been identified as a prudent and fairly well-managed economy. However, the issues that would pose...

Mexico is an open economy with strong real and financial links to the rest of the world with risks of spillovers from global turbulence. Recent gains in market share in the U.S. manufacturing market are owed to improved relative unit labor costs and reemergence of a location advantage....

This paper discusses Mexico's Review Under the Flexible Credit Line (FCL) Arrangement. Mexico has navigated successfully a complex external environment, characterized by falling commodity prices, a sharp appreciation of the U.S. dollar, and heightened volatility in international financial...

EXECUTIVE SUMMARY Context: Mexico’s growth is recovering, supported by strong export demand, while inflation pressures remain contained. The implementation of wide-ranging structural reforms is expected to boost potential growth in the medium term. The current account deficit is projected to...

KEY ISSUES Outlook and risks: Growth is projected to reach 2.4 percent in 2014, while core inflation remains close to the target. Strong export demand has boosted manufacturing production and employment, and construction activity is starting to recover, supported by an expansion of public...

Mexico has recovered more gradually from the pandemic than its peers and economic activity is expected to slow in the second half of this year and into 2023. Inflation increased as the economy emerged from the COVID-19 shock but is expected to plateau in the second half of 2022 and then...