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Analysts: Mexico economy to shrink 4 pct. in 2009

Analysts: Mexico economy to shrink 4 pct. in 2009

Mexico's economy will contract by 4 percent in 2009, largely because of the global recession and weak internal demand, private analysts said in a central bank report released Monday.
The previous bank survey of analysts, issued in April, had predicted a 3.3 percent contraction this year. Mexico's economy grew by 1.3 percent in 2008.
Monday's figures do not account for the impact of swine flu. Authorities ordered most businesses closed to contain the spread of the virus, and trade and commercial flights to and from Mexico have been disrupted.
Restrictions on Mexican businesses will start being lifted Wednesday.
Treasury Secretary Agustin Carstens has said the flu's impact could cost the economy an additional 0.3 percent to 0.5 percent of GDP.
Last week, the federal government reported that Mexico's economy shrank by almost 7 percent in the first quarter of 2009. Manufacturing exports plunged 22.8 from the year-ago period.
It was the worst performance since Mexico's economy fell 6.9 percent in all of 1995.


Updated : 2021-01-16 13:47 GMT+08:00