Investment, on the other hand, is contracting, sending up a warning sign on possibilities for future improvement. Also, forward-looking indicators such as purchasing managers’ indexes for both manufacturing and nonmanufacturing are declining, with the latter breaching the contractionary zone. As is the case in the United States, Mexico is expected to face a slowdown this year, while growth next year should pick up moderately.
4 Mexico’s growth scenario faces risks. The world economy may decelerate further, affecting U.S. prospects. A greater-than-expected slowdown in U.S. imports and industrial production could hurt the outlook for Mexico.