“Mexico differs from other economies because it has macroeconomic stability and a robust banking system”: EPN

President Enrique Peña Nieto inaugurated the 79th National Banking Convention “Mexico and Banking: Protagonists in the New International Economic Order” in the state of Guerrero.

“Banks and the government are united by a shared commitment. We are clear that the top priority is stability. Stability is the basis of sustained growth and sustainable development.”

Integration, stability and reforms position Mexico as one of the most attractive economies in the world for investing and growing in the coming years.

Financial Reform positively impacts the growth of the economy, supports the domestic market and improves the everyday life of Mexican families.

Financial reform: Progress 2014-2015

- There is now more, cheaper credit and in better conditions in Mexico. Credit has grown several times more than the national economy. 

- Domestic financial savings increased from 55.8% of GDP in 2012 to 69.3% in 2015, an increase of 13.5 percentage points.

- Private sector financing increased from 25.7% of GDP in 2012 to 30.9% in 2015, an increase of 5.2 percentage points.

- From December 2014 to December 2015,  credit for companies grew 15.6%; with credit for micro enterprises increasing by 17.6%.

- Personal loans rose by19.4% over the same period with mortgage loans increasing by 9%. 

 - Interest rates are declining, particularly in the case of personal loans, whose rates have been reduced by up to 8.6 percentage points.

 - Credit supply has been accompanied by greater soundness of the banking system. In December 2015, its Capitalization Ratio was 14.96%, similar to the average of the G-20 countries of 15.1%.

 - Also in December 2015, the Default Rate of Commercial Banks was just 2.6%, down from  3.4% in January 2014. This translates into a well capitalized bank with a healthy credit portfolio level.

“Today, financial reform, in addition to transforming the financial system itself, is contributing to the transformation of other areas of national life.”