During the period analyzed in this Report, the Mexican economy continued to be immersed in an economic and financial environment affected by the evolution of the pandemic and new variants of the virus. Although this has affected the conditions in which the Mexican financial system operates, it remains in a solid and resilient position, with banks’ capital and liquidity levels comfortably meeting regulatory minima.

The outlook for the Mexican economy indicates that the reactivation of economic activity that took place during 2021 will continue through 2022, although at a more moderate pace, and it cannot be ruled out thatsome degree of uncertainty and heterogeneity in the performance across sectors will remain. Meanwhile, a commensurate recovery in lending has yet to be observed.

Global economic activity continued to recover during the second and third quarters of 2021, albeit at a slower rate and heterogeneously across countries. In this environment, forecasts for world economic growth were revised slightly downwards for 2021 and remained unchanged for 2022, although uncertainty has increased recently. Inflation has risen worldwide in 2021. This reflected imbalances between supply and demand, partly associated with bottlenecks in global supply chains, the reallocation of spending towards merchandise, pressures on food and energy prices, as well as the effects of the reopening and gradual normalization of the provision of some services…