Like the rest of the world, Mexico has been hit by two powerful shocks in the past ten days: the explosion of COVID-19 into a global pandemic and the related collapse of international oil prices. Given that many of our clients and followers are not physically in Mexico and might benefit from a more direct sense of what is happening there, we have decided to publish this Special Report for your benefit. We recognize that this is an extremely fast moving situation; facts on the ground are constantly changing. Our goal is to provide timely, well-sourced information from public and private sources. If this medium proves to be helpful, we expect to publish further updates as we are able.

In light of the extensive coverage already available, there is no need to discuss the progression of COVID-19 from its December outbreak in Wuhan, China, into the current global pandemic. But its economic implications are worth noting: the crumbling of global financial markets, a U.S. and global economy speeding toward recession, and the widespread closing of national borders and concurrent collapse of global tourism. At the same time, a sharp disagreement between Saudi Arabia and Russia over how to respond to the global oil glut that accompanied the coronavirus-generated economic slowdown beginning in China led to a collapse in global oil prices. Together, these global developments have had a marked impact on Mexico, which is just barely at the beginning of the proverbial COVID-19 curve.

Full Report: Implications of COVID-19 for Mexico

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