In 2018, the Mexican economy experienced a climate of uncertainty facing the rounds of negotiations of the North American Free Trade Agreement (NAFTA) and the signing of the Treaty between Mexico, the US, and Canada (T-MEC). These actions represented a risk factor for investors and a threat to global economic prospects, especially for countries in the Asian region. Despite this environment, Mexico closed 2018 with a 2% growth in Gross Domestic Product (GDP). Although the accumulated growth was below the 2.1% and 2.3%, recorded in 2017, expected by the market, the growth of the last quarter of 2018 adds up to 36 upwards quarters, in a yearly comparison.
Source: INEGI
Source: INEGI
Mexico showed a very positive export momentum, achieving historical levels of exports and imports. In 2018, exports amounted to 451 billion dollars, representing an annual increase of 10%, the highest growth rate since 2011.
From the beginning of the present administration, government policies include the support for Small and Medium Enterprises (SMEs). According to figures from the National Institute of Statistics and Geography (INEGI), it is estimated that 99% of the 4 million 15 thousand existing business units correspond to SMEs. This segment generates 52% of GDP and 72% of national employment. Support for SMEs drives national development: due to their dynamism, SMEs have great possibilities to grow and generate jobs. In addition, SMEs incorporate new technologies with relative ease and contribute to local and regional development due to their multiplier effects.