Mexico Private Investment Shrinks More than Expected

Mexico’s gross fixed investment slipped by 5.5% year-on-year in October 2025, following the revised 6.8% plunge in September and worse than the expected 4.3% drop.

This marked the 14th consecutive month of reduced investment, continuing at a solid pace.

Spending on machinery and equipment fell 10.5%, following a 2.4% drop the previous month, driven by sharp falls in both domestic (-12%) and imported (-9.5%) purchases.

Meanwhile, construction edged down 0.7%, far slower than September’s 10.8% drop, as a 13.5% rise in residential activity offset declines in the non-residential segment.

On a seasonally adjusted basis, investment went up by 0.9% in October, after a revised 0.2% decrease in the prior month but missing market forecasts of a 1.5% rise.

Year-to-date, fixed investment shrank by 7.4% over a year ago.