THE NEWS
The Mexican government hopes that the country’s economy will see a “rapid improvement” over the course of the next year, with a 3 to 4 percent increase in the Gross Domestic Product (GDP), Foreign Relations Secretary José Antonio Meade said during a visit to France on Tuesday.
Mexico began the year with initial expectations of 3.1 percent annual growth, but first quarter growth only managed to reach 0.8 percent, which then rose only slightly in the second quarter.
Meade said that he is basing his optimistic prediction on the positive effects of a young population, important energy resources and government efforts to ensure a balanced budget and healthy financial system.
The current weakness of the Mexican economy, he added, can be blamed on weak worldwide growth, especially given that 80 percent of the country’s exports go to the United States. To diversify its export markets, Meade said that Mexico has turned to the south, as seen in its support for the Pacific Alliance, a proposed free trade area that would incorporate Mexico, Colombia, Chile and Peru. He added that negotiations on the Pacific Alliance have almost wrapped up, and that it’s expected that the final text of the treaty will be signed in the coming weeks.
“If Mexico manages to promote foreign trade and reform its economy, my country could be the world’s 7th largest economy in 2050,” Meade said.
According to Meade, President Peña Nieto’s reform agenda aims to stimulate investment in Mexico.
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