According to INEGI, electricity activities, along with water and gas supply in Mexico, increased 0.3% from January to February 2023 and 5.1% compared to February 2022, according to INEGI’s Monthly Indicator of Industrial Activity Report (IMAI).
IMAI follows the evolution of the industrial sector in the short term, providing valuable information for decision-making. It incorporates the mining; generation, transmission and distribution of energy, water and gas supply, construction and manufacturing industries.
During February 2023, IMAI registered an annual variation of 6% in electricity generation, transmission and distribution. Water and gas per pipeline supply saw a 1.3% variation during the same month. "At an annual rate and with seasonally adjusted series, the IMAI grew 3.5% last February. By economic sector, mining rose 7.7%; generation, transmission and distribution of electricity, water and gas supply to the final consumer grew 5.1%; construction increased 3.3% and manufacturing ticked up by 2.5%," the report reads.
Activities related to the extraction of oil and gas had a marginal annual increase of 1.2% in February 2023. Meanwhile, services related to mining showed a significant increase of 83.5% in the same period, which pushed the growth of this sector by 7.9%, resulting in the highest of all indicators.
The International Monetary Fund (IMF) placed Mexico’s growth outlook at 1.8% for the rest of the year. However, according to the international organization, the US financial turmoil pushed by Silicon Valley’s Bank (SVB) bankruptcy, in addition to increasing inflation, will limit global economic growth. Meanwhile, in March 2023, Banxico estimated 2023’s annual inflation rate to reach 6.85 percentage points, almost two points below the rate reported at the close of 2022.