Get an overview of the main financial indicators of the Mexican economy for the Nov - Jan 2013 period.

1. Key Mexico
Statistics
Nov – Jan 2014
Nuricumbo + Partners
Audit • Finance • Risk • Strategy • Business Development

2. Outline
1
Exchange Rates
2
Country Risk
3
Mexican Stock Exchange
4
Securities Market
5
Inflation Rate
6
Investment Unit (UDI)
7
Economic Confidence Indicator (IMCE)
8
International Reserves

3. Exchange Rates
29/11/13
$13.1101
31/12/13
$13.0843
31/01/14
$ 13.3769
29/11/13
$17.8271
$14.15
December
January
31/12/13
$12.3168
31/01/14
$12.0149
December
January
€17.80
$12.65
November
€18.30
$13.15
31/01/14
$18.1244
€18.80
$13.65
31/12/13
$18.0079
€17.30
$12.15
November
29/11/13
$21.7059
December
January
31/12/13
$21.9648
31/01/14
$22.3140
£23.20
$13.50
29/11/13
$12.3716
$13.00
£22.40
$12.50
£21.60
$12.00
£20.80
£20.00
€16.80
$11.50
November
December
January
Note: Mexican Pesos per Currency
Source: Mexican Central Bank, www.banxico.org.mx, 2014
$11.00
November

4. Country Risk
The Country Risk indicates the possibilities
that an emerging country has to fail on the
fulfillment of its obligations over external
debt payments, whether for capital or
interests. The higher the Country Risk, the
higher the possibility to get a “default”.
Country Risk
250
200
196
184
It is composed of three main sources:
156
150
• Sovereign Risk
• Transfer Risk
• Generic Risk
It is measured through the use of the
Emerging Markets Bond Index
(EMBI)
created by J.P. Morgan Chase.
Source: www.economia.com.mx, 2014
100
50
0
November December
Note: Basis points
January

5. Mexican Stock Exchange
The Mexican Stock Exchange (BMV) is a
public institution that operates under a
concession granted by the Ministry of
Finance (SHCP), observing the Mexican
Securities Law.
Given the world tendencies and legislation
changes, the BMV has already started its
demutualization process, but up to this date
its shareholders are authorized brokerage
firms, which own one share each.
Price and Market Rates Index
(IPC)
43,000
42,500
42,727.09
42,499.13
42,000
41,500
41,000
40,879.75
40,500
Marketable Securities
• Capitals Market (Stocks, Fibras)
• Capital Development Market (CKDes)
• Debt
Market
(Government, Short, Medium and Long
Term Debt).
Source: Mexican Stock Exchange (BMV), http://www.bmv.com.mx/, 2014
40,000
39,500
November December January
29th
31st
31st

6. Securities Market
The Mexican Central Bank (Banxico) carries
out operations in the securities market in
order to regulate the liquidity of Mexico’s
financial system.
It also undertakes primary auctions of
securities for the government and other
public sector entities, and issues regulations
on several financial operations of financial
intermediaries.
Cetes 28
Zero coupon bonds denominated in Mexican
Pesos issued by the Mexican Government, in a
28-days period.
Source: Mexican Central Bank, www.banxico.org.mx, 2014
Government Securities
Auction’s Monthly Results
(Cetes 28-days)
3.45%
3.40%
3.35%
3.30%
3.25%
3.20%
3.15%
3.10%
3.05%
3.00%
3.40%
3.16%
3.18%
November 29th
December 31st
January 31st

7. Inflation Rate
Yearly Inflation Rates per
Month
Inflation can be defined as a continuous and
widespread increase in goods and services
prices.
The Consumer Price Index (CPI) is the
statistical instrument that calculates inflation
by continuously measuring the price changes
of households’ representative basket of
goods and services.
4.10%
4.00%
3.90%
3.80%
3.70%
3.60%
3.50%
3.40%
3.30%
3.20%
3.10%
3.00%
3.97%
3.62%
3.36%
November December January
Source: Mexican Central Bank, www.banxico.org.mx, 2014

8. Investment Unit (UDI)
Investment Unit (UDI)
The
Investment
Unit
(Unidad
de
Inversion, UDI) is the factor (value) to be
applied to the acquisition of mortgages.
The Mexican Central Bank is the responsible
5.120000
5.100417
5.100000
5.080000
5.058731
5.060000
5.040000
5.020000
authority to publish at the Mexico’s Official
5.000000
Gazette its value in Mexican Pesos for each
4.980000
day of the month.
5.018606
4.960000
November December January
29th
31st
31st
Source: Mexican Central Bank, www.banxico.org.mx and Ministry of Finance, www.sat.gob.mx, 2014

9. Economic Confidence Indicator (IMCE)
The Economic Confidence Indicator, IMCE, is
a diffusion indicator which aims to quantify
the expectation of the perceived business
climate through more than 20,000 registered
public accounting to nearly 60 colleges
affiliated to Public Accountants Mexican
Institute, IMCP.
The index can become one of the key leading
indicators to get a better overview of the
situation of the Mexican economy.
The indicator is divided into two main
components, which presents the current
perception in the business climate as well as
future perspectives. Its score is measured
through a range of 0 to 140 points, being
higher values optimistic and lower values
pessimistic.
Source: Public Accountants Mexican Association, IMCP, http://imcp.org.mx/, 2014
Economic Confidence
Indicator
$72
$71
71.43
70.69
$70
$69
$68
67.28
$67
$66
$65
November December January

10. International Reserves
Known as financial assets invested abroad by
the Mexican Central Bank that can easily be
converted in means of payment.
According to the Mexican Central Bank, the
following concepts are considered as
International Reserves:
International Reserves
(Million USD)
$177,500
$177,179
$177,000
$176,579
• Foreign banknotes and coins;
$176,500
• Deposits, securities and stocks payable
outside of Mexico;
$176,000
• Loans by Central Banks payable at no
longer than six months;
• The Special Drawing Rights at the
International Monetary Fund.
Source: Mexican Central Bank, www.banxico.org.mx, 2014
$175,882
$175,500
$175,000
November December January
29th
31st
31st

11. Contact
Address: Plateros 16 – 504, San Jose Insurgentes 03900, Mexico City
Tel. Office: + 52 (55) 5339 5839
Mobile: + 52 (55) 5453 6309
E-mail: armando@nuricumbo.com Web: www.nuricumbo.com
Skype: nuricua BB Pin: 21BD8276