The Economic Commission for Latin America and the Caribbean (CEPAL) predicts that Mexico’s economy will grow by 2.5% in 2024. This forecast is consistent with the projection made in December and is lower than the 3.2% growth seen in 2023, yet it exceeds the average expectations for the region.

Overall, Latin America and the Caribbean are expected to see an average growth of 2.1% this year. Specifically, South America is projected to grow by 1.6%, Central America and Mexico by 2.7%, and the Caribbean (excluding Guyana) by 2.8%, as outlined in CEPAL’s “New Economic Growth Projections for Latin America and the Caribbean 2024.”

CEPAL notes that the anticipated growth for the region in 2024 continues the trend of slow economic expansion observed in recent years. The major challenge remains how to shift towards a more robust, dynamic, and inclusive growth trajectory.

The projected low growth for 2024 is not merely a short-term issue but signifies a broader decline in the trend growth rate of the regional GDP. The United Nations-affiliated organization warns that Latin America and the Caribbean are ensnared in a development crisis marked by three reinforcing traps: low growth, high inequality with limited social mobility, and weak institutional capacity combined with ineffective governance.

“These traps impede the achievement of the United Nations’ 2030 Agenda and inclusive social development,” CEPAL warns.

To invigorate growth, CEPAL emphasizes the need for the region to boost productivity and enhance investment in both physical and human capital. This means not only increasing investment but also investing more effectively.

CEPAL advocates for the adoption of new technologies, the promotion of cluster initiatives and sound business practices, significant improvements in capital accumulation processes, and the proper utilization of the region’s social and environmental capital.

The commission has pinpointed a portfolio of at least 15 key sectors that could drive more sustainable and inclusive growth. The region must invest in critical areas such as productivity, infrastructure, telecommunications, digitalization, research and development, and notable enhancements in health programs.

Furthermore, Latin America and the Caribbean need to adapt their educational systems to meet the changes posed by digitalization and automation in the labor markets.

Fuente: Cepal mantiene en 2.5% previsión de crecimiento para la economía mexicana en 2024