Overview: Mexico's economy is a mixture of state-owned industrial plants (notably oil), private manufacturing and services, and both large-scale and traditional agriculture. In the 1980s Mexico experienced severe economic

difficulties: the nation accumulated large external debts as world petroleum prices fell; rapid population growth outstripped the domestic food supply; and inflation, unemployment, and pressures to emigrate became more acute. Growth in national output dropped from 8% in 1980 to 1.1% in 1988 and 2.5% in 1989. The US is Mexico's major trading partner, accounting for two-thirds of its exports and imports. After petroleum, border assembly plants and tourism are the largest earners of foreign exchange. The government, in consultation with international economic agencies, is implementing programs to stabilize the economy and foster growth.

GDP: $187.0 billion, per capita $2,165; real growth rate 2.5% (1989)

Inflation rate (consumer prices): 20% (1989)

Unemployment rate: 20% (1989 est.)

Budget: revenues $36.1 billion; expenditures $56.1 billion, including capital expenditures of $7.7 biilion (1988)

Exports: $23.1 billion (f.o.b., 1989); commodities--crude oil, oil products, coffee, shrimp, engines, cotton; partners--US 66%, EC 16%, Japan 11%

Imports: $23.3 billion (c.i.f., 1989); commodities--grain, metal manufactures, agricultural machinery, electrical equipment; partners--US 62%, EC 18%, Japan 10%

External debt: $95.1 billion (1989)

Industrial production: growth rate 1.3% (1988)

Electricity: 26,900,000 kW capacity; 103,670 million kWh produced, 1,200 kWh per capita (1989)

Industries: food and beverages, tobacco, chemicals, iron and steel, petroleum, mining, textiles, clothing, transportation equipment, tourism

Agriculture: accounts for 9% of GDP and over 25% of work force; large number of small farms at subsistence level; major food crops--corn, wheat, rice, beans; cash crops--cotton, coffee, fruit, tomatoes; fish catch of 1.4 million metric tons among top 20 nations (1987)

Illicit drugs: illicit cultivation of opium poppy and cannabis continues in spite of government eradication efforts; major link in chain of countries used to smuggle cocaine from South American dealers to US markets

Aid: US commitments, including Ex-Im (FY70-88), $3.0 billion; Western (non-US) countries, ODA and OOF bilateral commitments (1970-87), $6.8 billion; Communist countries (1970-88), $110 million

Currency: Mexican peso (plural--pesos); 1 Mexican peso (Mex$) = 100 centavos

Exchange rates: market rate of Mexican pesos (Mex$) per US$1--2,660.3 (January 1990), 2,461.3 (1989), 2,273.1 (1988), 1,378.2 (1987), 611.8 (1986), 256.9 (1985)

Fiscal year: calendar year

NOTE: The information regarding Mexico on this page is re-published from the 1990 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Mexico Economy 1990 information contained here. All suggestions for corrections of any errors about Mexico Economy 1990 should be addressed to the CIA.