JP Morgan Forecasts Slow Growth: The Week in Finance

JP Morgan reported that most emerging markets across the world will suffer economic slowdowns. Mexicans are now holding more financial assets, as reported by the National Banking and Securities Commission (CNBV) and the National Institute of Statistics and Geography (INEGI).

Ready? This is the week in finance:

JP Morgan Explains Difficult Scenario

"China’s adherence to its zero-COVID-19 policy, Russia's recession and tightening global financial conditions are set to pull emerging markets (EM) growth sharply lower this quarter," wrote Luis Oganes, Head of Currencies, Commodities and EM Research, and Jonny Goulden, Head of EM Local Markets and Sovereign Debt Strategy, JPMorgan.

The Importance of a Multi-rail Payment Strategy

Increasingly demanding customers are straining the capabilities of companies but this trend also generates new opportunities. “Consumers want to choose what to pay, when to pay, and how to pay for their purchases. This presents a huge opportunity for merchants and has opened the door for players to implement a multi-rail payment ecosystem, where companies can build integrated payment solutions and consumers can choose between various payment methods,” explains Marc Sacal, COO, Arcus Financial Intelligence. Arcus provides multi-rail payment networks that includes cash, real-time payments through SPEI and other payment rails.

Fintech’s Services Grow in Popularity

Financial services provided by fintech companies are becoming more popular and accessible to all economic sectors. Fintechs are "a space where innovation and social integration are possible,” said Andrea Picardi, Country Manager, Triba. The developments these companies have provided have changed the structure, provision and consumption of financial services.

Mexicans Own More Financial Assets

The CNBV and INEGI’s National Survey of Financial Inclusion (ENIF) 2021 shows that more Mexicans own a financial asset, such as a savings account or credit card. The survey generates statistical information, while showing official indicators at the national, regional and local levels that allow authorities to make diagnoses. Public policies and the establishment of goals are vital for inclusion and financial education, according to the SHCP.

Food Security Remains Stable, Food Prices Fall

Food prices fell in April across the globe as strategies to fight inflation have allowed for the introduction of new methodologies. The Mexican government, for example, has relied on subsidies to facilitate acquisition of food and fertilizers, while focusing on building a strategic corn reserve by using resources from the Mexican Food Security (SEGALMEX) organization.