Economy Mexico
Economy - overview:
Mexico has a free market economy with a mixture of modern and
outmoded industry and agriculture, increasingly dominated by the
private sector. Recent administrations have expanded competition in
seaports, railroads, telecommunications, electricity, natural gas
distribution, and airports. Income distribution remains highly
unequal. Trade with the US and Canada has tripled since the
implementation of NAFTA in 1994. Following 6.9% growth in 2000, real
GDP fell 0.3% in 2001, recovering to only a plus 1% in 2002, with
the US slowdown the principal cause. Mexico implemented free trade
agreements with Guatemala, Honduras, El Salvador, and the European
Free Trade Area in 2001, putting more than 90% of trade under free
trade agreements. Foreign direct investment reached $25 billion in
2001, of which $12.5 billion came from the purchase of Mexico's
second-largest bank, Banamex, by Citigroup.
GDP:
purchasing power parity - $924.4 billion (2002 est.)
GDP - real growth rate:
0.7% (2002 est.)
GDP - per capita:
purchasing power parity - $8,900 (2002 est.)
GDP - composition by sector: agriculture: 5% industry: 26% services: 69% (2001 est.)
Population below poverty line: 40% (2001 est.)
Household income or consumption by percentage share: lowest 10%: 1.6% highest 10%: 41.1% (2001)
Distribution of family income - Gini index:
53.1 (1998)
Inflation rate (consumer prices):
6.4% (2002 est.)