Mexico's Finance Ministry has raised its forecast for economic growth in the county to 4.8%,which reflects the fastest pace in a decade. Spending on infrastructure has further stimulated the economy. Stronger than expected economic data and retail sales,which were double the market expectations,were both cited. Mexico's GDP grew 5.9% in the first half of 2010,along with strong job creation numbers.
Mexico's National Infrastructure Fund has doubled the number of projects this year to enhance economic growth and create jobs. The projects in 2010 attracted a total investment of 85.3 billion pesos.
A sign of recovery in the global housing market is shown in 61% of countries recorded positive growth in the 12 months to mid- 2010. Data from the second quarter of 2010 suggests that the recovery is continuing. The post-crash bounce in global housing markets is growing.
The lowest interest rates in many years in the US and Canada has encouraged many foreign nationals to invest in Mexico. A Second-Home Trend Report indicated that 45% of existing second-home owners believe it is a good time to invest in yet another vacation home.
Mexico's low unemployment numbers,around 5%,show good signs toward steady improvement and continued progress for Mexico's economy.
The peso has strengthened about 5% this year,showing the best performance against the dollar among the 16 major currencies tracked by Bloomberg.
Mexico's Finance Minister,Ernesto Cordero,said, "The important thing is that the deficit will shrink from this year's projected 0.7%,and that is is possible to return to a balanced budget in 2012."