Our baseline requirements address enduring and identifiable sources of risk to the financial system, with the aim of achieving resilience to most probable shocks or adverse events. We then adapt our regulatory and supervisory approach to reflect newly emerging and/or cyclical risks and the impact they could have on the financial system.
1 In short, the main engine of recent Mexican economic expansion has been domestic spending, largely by the private sector, including both consumption and investment. Yet it is worth noting that, although representing a smaller weight in total aggregate demand, government consumption was expanding, thereby supporting spending as well. In the 2016 first quarter, however, this trend changed.