Concluding Remarks This note analyzed the recent fiscal reforms, which can make the fiscal framework more instrumental in addressing challenges that Mexico will likely face in coming years. Mexico would benefit from building of fiscal policy buffers to reduce the exposure to high financing and...

KEY ISSUES Context: Over the past year, Mexico has maintained macroeconomic stability and has made significant progress in advancing growth-oriented structural reforms. The country’s close ties with the global economy, while a source of strength, heighten the economy’s exposure to external...

EXECUTIVE SUMMARY ? Background and Outlook. Mexico has been resilient to global uncertainty, in large part due to confidence in the strong policy framework and sound policy management, which are underpinned by a broad consensus about macroeconomic stability and by the signaling and insurance...

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...

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....