fDi Markets Newswire:

Home / Locations / Americas / Mexico / Mexico's 2017 FDI forecast slashed

Uncertainty is likely to lead to weak investment and a shift to extractive industries, according to Citibank’s Mexican arm. Natasha Turak reports.

Citibanamex, the Mexican unit of Citibank, has reduced its forecast for 2017 FDI inflows by a third, from a previous estimate of $35.8bn to $25bn.

“The main feature of 2017 will be uncertainty and therefore weak investment,” the bank said in a report. “We expect a shift from manufacturing to extractive industries (oil and gas) and electricity, gas and water, among others.”

Greenfield FDI inflows to Mexico in 2016 amounted to $26.18bn, according to greenfield FDI monitor fDi Markets. Citi writes that for the past decade, 48% of FDI went into the manufacturing sector, much of which contributes to regional supply chains likely to suffer if NAFTA is dismantled by the Trump administration, which has threatened to renegotiate the free trade deal or scrap it altogether.  

This article is sourced from fDi Magazine
fDi Magazine

The fDi Report 2018: Free Download

The fDi Report 2018 promobox

Crossborder investment monitor

fDi Markets - Cross border investment monitor

fDi Markets is the only online database tracking crossborder greenfield investment covering all sectors and countries worldwide. It provides real-time monitoring of investment projects, capital investment and job creation with powerful tools to track and profile companies investing overseas.

Click here to find out more about fDi Markets

Corporate location benchmarking tool

fDi Benchmark is the only online tool to benchmark the competitiveness of countries and cities in over 50 sectors. Its comprehensive location data series covers the main cost and quality competitiveness indicators for over 300 locations around the world.

Click here to find out more about fDi Benchmark

Research report

fDi Intelligence provides customised reports and data research which deliver vital business intelligence to corporations, investment promotion agencies, economic development organisations, consulting firms and research institutions.

Find out more.