Mexico's economic growth accelerates in 2nd quarter

MEXICO CITY (AP) — Mexico’s economy accelerated in the second quarter of the year, growing 1.5% compared to the first three months, according to preliminary data released Friday by Mexico’s statistics agency.

The second quarter growth was up 19.6% compared to the same quarter in 2020, but much of that gaping difference can be attributed to just how bad things were last year when the COVID-19 pandemic devastated economic activity. Mexico recorded its first COVID-19 case in late February 2020.

A rebound was expected after last year’s recession with the hope being that the U.S. economic recovery would pull Mexico along with it.

Moody’s Analytics Director Alfredo Coutiño said in a report Friday that concerns remain about how the central bank could respond to Mexico’s persistent inflation and the impact of growing COVID-19 infection rates that could “introduce interruptions in some activities and reduce the economic advance.”