Mexico’s 2025 State of the Nation Report: What Investors and Businesses Need to Know

A new economic model in Mexico

In her first State of the Nation address, President Claudia Sheinbaum emphasized that Mexico is consolidating a new economic model focused on:

• Preserving macroeconomic stability.

• Promoting fair wages.

• Expanding social welfare programs.

• Reducing poverty and inequality.

Between 2018 and 2024, poverty dropped from 41.9% to 29.5% of the population—the lowest level in at least 40 years. The Gini coefficient, which measures inequality, decreased from 0.426 to 0.391, positioning Mexico as the second country with the lowest inequality in the Americas, after Canada.

Key takeaways for investors and businesses

For foreign investors and companies operating in Mexico, here are the most relevant insights:

1. A stronger domestic market

   • Minimum wage will rise another 12% in 2025, marking a historic cumulative increase of 135% since 2018.

   • This boosts household income and sustains consumer demand.

2. Stability amid global uncertainty

   • Mexico’s GDP is expected to grow 1.2% in 2025—a modest pace but stronger than the “catastrophic” declines projected by international financial organizations.

   • Growth is supported by domestic demand and the National Infrastructure Plan, investing MXN 811 billion in passenger trains, highways, hospitals, waterworks, Pemex, and CFE.

3. Large-scale social programs

   • MXN 850 billion allocated to welfare programs (≈2.3% of GDP).

   • Over 32 million families receive direct transfers via Banco de Bienestar: pensions, educational scholarships, and youth employment programs.

   • This expands purchasing power and stimulates sectors such as housing, tourism, and retail.

What does this mean for your business?

• Foreign investors in Mexico: the economic outlook remains stable, with infrastructure investments favoring real estate, construction, and tourism projects.

• Mexican companies: economic policy prioritizes domestic demand, creating opportunities for businesses serving the middle class and growing consumer sectors.

• Condominium administrators and developers: increased formalization and transparency are essential, as compliance and reporting are becoming strategic advantages.

Cadena Advisors’ perspective

In a country where fiscal and economic policies evolve quickly, it’s not enough to follow government announcements—you need to translate them into tax, accounting, and compliance strategies that protect your investments and enable growth.

At Cadena Advisors, we guide foreign investors and Mexican entrepreneurs in turning complex policy changes into clear, actionable business decisions.

📩 Want to know how these measures will impact your sector and your company?Connect with our specialists and ensure your business takes full advantage of Mexico’s new economic model.