Mexican Economy Stagnant; Inflation Continues to Rise

The National Institute of Statistics and Geography’s (INEGI) reported that the Mexican economy showed signs of slowing down in July 2022, as the country continues to face a panorama of uncertainty regarding its economic growth. Inflation increased again during the first two weeks of August, reaching 8.62 percent.

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Mexican Economy Slows Down

INEGI reported via its Timely Indicator of Economic Activity (IOAE) that Mexico’s economy is showing worrying signs of slowing down. Meanwhile, inflation continues to rise, registering historically high numbers.  INEGI’s Global Indicator of Economic Activity (IGAE) decreased by 0.1 percent in July 2022.

“For July 2022, the IOAE estimates an annual rate variation of the IGAE of 1.5 percent. The estimates made represent their respective confidence intervals at 95 percent for the months of June and July 2022. For the Large Sectors of Activity of the IGAE, an annual increase of 2.7 percent is calculated for secondary activities and 0.8 percent for the tertiary sector,” explains INEGI’s press release.

SAT Clarifies its Tasks for the Mexican Population

The Tax Administration Service (SAT) clarified that it does not supervise or tax transactions made in cash. “It is false that the SAT charges taxes for cash deposits made in banking institutions. It is pertinent to clarify that all those deposits that are made for expenses from parents to children or vice versa,” said the institution.

Financial Inclusion Sought Through New Solutions

Pedro Rivas, General Manager Mexico, Mercado Pago explained that the company uses artificial intelligence to analyze vast amounts of data. He added that Mercado Pago has the largest engineering team in Latin America.

“Technology and engineering play an essential role in Mercado Libre. Putting engineering products at the center of the company allows us to iterate and build tools and solutions that are more likely to solve problems. We deploy AI and other safeguards to ensure an above-average user experience and fast problem-solving, which demonstrates Mercado Libre’s world-class sophistication. This is a Latin American company that is using the same technology that is being deployed in the US, China and other major markets,” said Rivas.

GBM Promotes Investment Among Women

Mexican Stock Market Group (GBM) announced its first meeting of the Council of Journalists for the inclusion of women in investment. The council comprises 13 Mexican journalists from various media in the country, as it seeks to promote awareness regarding the current situation of Mexican women in the country’s economy, while highlighting investing opportunities for them to take advantage of.

The Organization for Economic Co-operation and Development (OECD) reports that the overall gender gap will take nearly 135.6 years to close, but the economic participation will take 267.6 years to close. Promoting equality would add between 13 percent and 31 percent to the global GDP by 2025.