MEXICO CITY (Reuters) – Mexico’s economy suffered a record contraction in April, official data showed on Friday, as the effects of coronavirus lockdown devastated economic activity across the country.
Adjusted for seasonal swings, Latin America’s second-biggest economy contracted by 17.3% from March, the biggest fall since modern data began being published in early 1993, according to figures put out by national statistics agency INEGI.
Still, the decline was not as sharp as the 19.4% drop forecast by a Reuters poll of economists.
In unadjusted terms, the economy shrank by 19.9% in April compared with a year earlier, the figures showed.
The demands of lockdown have dealt massive blows to key pillars of the Mexican economy. These have ranged from a monthly fall of more than 25% in industrial output in April to a slightly shallower decline in retail sales.
The government hopes the economy fared slightly better in May, when it gradually began to permit sectors such as carmaking, mining and construction to return to work.
(Reporting by Dave Graham; Editing by Steve Orlofsky)
