Banxico forecasts 2026 GDP growth at 1.5% (prev. 1.1%) and 2027 GDP growth at 2.0% (prev. 2.1%); forecasts average annual core inflation in Q4 of 3.5% (prev. 3.4%) and annual average headline inflation in Q4 of 3.5% (prev. 3.5%)

Forecasts average annual core inflation in Q4 2027 at 3.0% (prev. 3.0%) Forecasts average annual headline inflation in Q4 2027 at 3.0% (prev. 3.0%). Headline inflation seen converging to 3% target in Q2 2027. National economy continues to experience a period of weakness and faces a complex external environemnt subject to significant geopolitical risks. National economy continues to experience a period of weakness with uncertainty surrounding the USMCA annual review process process. Balance of risks to inflation remain skewed to the upside.