FX.co ★ Mexico Private Investment Shrinks More than Expected

In October 2025, Mexico experienced a 5.8% decline in gross fixed investment year-on-year, following a revised 8.3% decrease in September. This downturn was more severe than the anticipated 4.3% drop and marked the 14th consecutive month of reduced investment activity. Expenditures on machinery and equipment saw a significant fall of 10.5%, after a 2.4% decline in the previous month, caused by notable decreases in both domestic (down 12%) and imported (down 9.5%) purchases. Conversely, construction saw a slight decrease of 0.7%, which was an improvement compared to September's 10.8% drop. This was largely due to a 13.5% increase in residential activity that helped counterbalance the declines in the non-residential sector. On a seasonally adjusted basis, investment rose by 0.9% in October, following a revised 0.2% decrease the previous month, but this growth fell short of the market's forecasted 1.5% increase.