The scarcity of resources to finance public investment is hindering the growth capacity of the Mexican economy and preventing the possibility of elevating competitiveness. In other words, the fiscal problem has materialized in sub-par investment levels entailing high social costs.
In a lower interest rate regime some deposit rates must inevitably come down. The returns on call deposits in particular are already at very low levels. It would be unwise to assume that interest rates will remain permanently low once the euro area is established.