Mexico’s Economy Minister Luis Videgaray said on Tuesday that Mexico’s gross domestic product (GDP) could reach $1,827.5 billion in 2019, up from $1 and a half billion in 2018.
The country is also set to achieve record economic growth, with the government forecasting that GDP will reach $2.3 trillion, or nearly half of the $2 trillion in GDP in 2018, according to a new report by the Congressional Budget Office (CBO).
Mexico’s GDP grew at a more moderate pace in 2017 than in any year since 2008, according the latest annual survey by the country’s central bank, the Bank of Mexico (BNM).
The economy is projected to grow at a solid 6.3% in 2019.
Videgaray told reporters that the economy has benefited from a strong start to the new year and that the government has decided to hold a stimulus package for the second half of 2019.
The package will be expected to be announced in early December, he added.
Vidinggaray also announced that the BNM is going to increase the amount of cash in circulation, saying it will raise the daily minimum cash withdrawal rate from 20% to 25%.
The budget, which was released on Monday, said that the total budgetary deficit is expected to fall to 4.9% of GDP in 2019 and to 3.4% in 2020.
Videsgaray has also said that Mexico will spend a minimum of 10% of its budget on social protection, while the rest of the budget will be spent on basic needs such as health and education.
Mexico’s budget deficit in 2019 is expected at 4.8% of gross domestic output, compared to 4% in 2018 and 3.7% in 2017.