Image credits: BBVA twitter
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News Article

Minister of Finance Reports Current State of Mexico’s Economy

By Karin Dilge | Wed, 06/08/2022 - 13:08

In a press release from the Ministry of Finance, Minister of Finance Rogelio Ramírez de la O informed the BBVA’s 2022 National Reunion of Regional Councilmen about the current state of the country’s economy. He expressed the government’s intention to ensure the level of banking fees the same and touted high employment levels.

Ramírez de la O emphasized that the government wants to provide certainty regarding fees and around financial inclusion. The programs add value by creating the conditions to integrate more people into the banking system. The minister also revealed the panorama regarding the economic conditions in the country.

He highlighted that the labor market remains solid since the working population has grown in the past three months. In April 2022, it reached historical highs, registering 57.7 million people. Employment was higher than before the pandemic, with 300,000 more under contract. The unemployment rate reached its lowest level in April with 3.1 percent, while labor participation stood at 60 percent, slightly higher than pre-pandemic levels. 

According to Social Security data, formal employment has been on the rise for 22 consecutive months. Since the beginning of López Obrador’s term until April 2022, more than 800,000 jobs were added and 26 federal entities of the country recovered their pre-pandemic employment levels. Tabasco, Baja California Sur and Nayarit made the most progress. The entities with the biggest annual growth regarding formal employment were Mexico City, Jalisco and Nuevo León. Together, they contributed to 29 percent of the total job creation.

What is more, investment is showing signs of recovery. Ramírez de la O said that FDI during 1Q22 reached a historical high of US$8.7 billion. He furthermore highlighted that public finances remain solid and that the public system stands firm.

The data used in this article was sourced from:  
BBVA, SHCP
Photo by:   BBVA twitter
Karin Dilge Karin Dilge Journalist and Industry Analyst