Doing Business in Mexico
Mexican Market Spotlight:
Mexico boasts the 14th largest economy in the world and is second in Latin America with a population of 116 million, and GDP of US$ 1.2 trillion. Structural reforms in Mexico have recently been approved in fields such as energy, telecommunications, fiscal and labor. These reforms are attracting foreign investors and triggering economic development.
- The expected growth rate by Banxico (Mexico's Central Bank) is 2.9% for 2015.1
- Mexican per capita consumer spending is forecast to increase by 30% by 2017, compared with a regional growth average of 27% reported in the 2014 PwC Retail report.2
- Population forecast to increase from 119.7 million in 2014 to 128.1 million by 2020. GDP per capita is expected to grow 14.9% by 2020.3
The average annual household income in Mexico has steadily increased to US$13,085 in 2015.4 Households earning more than double that amount, about US$35,467, increased over 200 thousand during the same period as shown in INEGI's (National Institute of Statistics and Geography) last economic census.
Mexico also has one of the lowest total manufacturing costs5 among emerging economies, approximately 25% lower than the US. The country is a manufacturing powerhouse, exporting 80% of its manufactured goods, and has more than 745,000 university students specializing in engineering and technology. Mexico's macroeconomic financials are sound with reserves of US$163 Bn, almost three times its foreign debt.6
Mid-sized businesses in Mexico that are involved in global supply chains or are considering expanding into overseas markets themselves gain competitive advantages with commercial banking solutions that simplify domestic growth and expansion into international markets. Citi Commercial Bank's unique global reach and local expertise provides access to experienced Relationship Managers in Mexico's leading trade partner countries, including the U.S., China and South Korea.
1 Banco de México / Mexico's Central Bank
2 PricewaterhouseCoopers 2014 Retail Report
3 International Monetary Fund
4 OECD Better Life Index
5 According to Alix Partners
6 Source: Standard and Poors
About Citi Commercial Bank Mexico
Citigroup merged with Banamex in 2001 and Citi Commercial Bank now serves mid-sized businesses in 68 cities throughout Mexico. The country has Commercial Bank offices in Mexico City, Mexico's capital, largest city, and political, educational, and financial hub; Guadalajara, Mexico's second largest metropolitan area with an economy based on industry and information technology; and Monterrey, an industrial and business center often considered the most Americanized of all Mexican cities. Currently, Mexico has free trade agreements with 24 countries where CCB has a presence.
In the role of skilled officers, CCB Mexico has approximately 400 Relationship Managers who are committed to helping their clients get custom-design commercial banking solutions to realize their companies' growth strategies.
CCB Mexico's outstanding service and solutions were recognized with several awards in 2014, including:
- #1 Foreign Exchange Bank in Mexico, EuroMoney FX Survey
- Best Foreign Exchange Provider in Mexico, Global Finance
- Leading Commended for Global Leading clients, Global Custodian Magazine EM Survey
- Commended for CBNA and Domestic Clients, Global Custodian Magazine EM Survey
Miguel Carrera Compeán
CCB Mexico Country Business Head
Mr. Carrera joined Citi through Banamex in 1988. In July 2014, Miguel was appointed as Mexico´s Corporate Director of Citi Commercial Bank and States & Municipalities. Prior to this role he was the Divisional Director of the North Division (the second most important region in the country), in charge of the Retail Network, the Commercial Bank and Wealth Management.
Mr. Carrera has delivered strong results for the last 6 years and has held a number of leadership positions; participating in the creation of the Institutional Remedial Management area, Co-Head of the Insitutional Clients Group, Regional Director of the South Metropolitan Division, and Divisional Director of the North Metropolitan Division.
"No matter how complex your Business is, we'll help you simplify the administration of your treasury and develop your Company by offering a personalized service model, rendered by your Relationship Manager."
- Miguel Carrera Compeán