Mexico's Economy Slows Growth in April, According to Inegi

The economy of Mexico continues to show signs of weakness. Monthly growth for April 2025 was nearly nonexistent, with only 0.04%, according to the Leading Economic Activity Indicator (IOAE), which was released this Monday by Inegi.

Additionally, Inegi revised March's data downward. What was originally estimated at -0.02% was adjusted to -0.21%. This suggests that the Gross Domestic Product (GDP) for the first quarter may have grown by just 0.21%, according to an analysis by Banco Base, confirming the slowdown in economic progress. On an annual basis, the IOAE projects a mere 0.7% growth in the Global Economic Activity Indicator (IGAE) for April 2025. When analyzing by sector, a decrease of 0.8% is anticipated in the secondary sector (industry), while a 1.5% increase is expected in the tertiary sector (services), highlighting an uneven performance among the various productive areas of the country. It is important to remember that Mexico managed to avoid a technical recession after registering a slight growth of 0.2% in the first three months of 2025, according to the Prompt Estimate of Quarterly Gross Domestic Product. Next Thursday, May 22, Inegi will announce the updated GDP growth for the first quarter, along with the IGAE data for March and inflation for the first half of May.

It’s crucial for the government and productive sectors to implement effective strategies to revitalize the economy. The lack of growth not only affects businesses but also the well-being of citizens. Measures such as incentivizing investment and internal consumption could be key to keeping the economy on a path of sustainable expansion.