Well-Diversified and Profitable Business slide image

Well-Diversified and Profitable Business

Mexican Economy Diverse economy with a strong balance sheet • The Mexican economy reflects a solid mix of commodities, goods production, and services Trade remains dominated by the U.S., but Mexico's diversification agenda is underpinned by 13 free-trade agreements with 47 countries that account for 40% of global GDP Despite NAFTA-related uncertainty, investment rebounded in 2018 and trade has returned to making a positive contribution to economy-wide growth 15.9% Finance, Insurance, & Real Estate 16.2% Other 3.1% Natural Resources 6.5% Transportation & Warehousing 5.8% Health & Education MEXICAN GDP BY INDUSTRY (Q3 2018) 1.9% Professional, 3.8% Scientific, & Technical Public Services Administration Top 5 Trading Partners 17.5% Wholesale & Retail Trade 15.9% Manufacturing 6.3% Mining and Oil & Gas Extraction 7.0% Construction Contributions to Mexican GDP Growth 5 y/y % change 4 3 2 1 0 -1 -2 Other Net Exports Inventories GFCF Government Consumption -3 16 Real GDP 17 18 Sources: Scotiabank Economics, Haver Analytics. Germany 3% Japan 3% Canada 4% China 10% Others 21% United States 59% Scotiabank® 39
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