The Foreign Direct Investment (FDI) that Mexico has attracted during the first quarter of this year amounted to a total of 20,313 million dollars (mdd), an amount higher by 9% compared to the same period in 2023, mainly driven by reinvestment of profits, according to the report from the Ministry of Economy (SE).
“This is a new historical peak since records began,” indicated the federal agency, specifying that 97% of the total amount was concentrated in profit reinvestments and only 3% were new investments.
“This reconfiguration of FDI flows observed in the first quarter of 2024 suggests an adequate degree of liquidity for companies to cover debts acquired abroad through loans, as well as to extend loans to companies belonging to their corporate group, resulting in a zero effect on investment inflows into the country, which is reflected in inter-company accounts,” according to the Ministry of Economy (SE).
Of the FDI recorded for the first quarter of 2024, 52% of the investment flows come from the United States, positioning it as the main investing country in Mexico.
Likewise, 77% of the FDI received in the first quarter of 2024 was concentrated in five federal entities of the country, highlighting the importance of Mexico City as the main recipient of investment.
Furthermore, 42% of the recorded FDI is concentrated in the manufacturing sector, with notable industries including Transportation Equipment, Beverages and Tobacco, Food, Chemical, Metals, Plastic and Rubber, Electric Power Generation Equipment, Computer Equipment, and Paper Industry.
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