HomeBusiness
BusinessPodcasts

For the first time, Mexico’s inflation is now lower than in the US: A ‘Confidently Wrong’ podcast

Travis Bembenek
By Travis Bembenek
0
A youtube video thumbnail reads

High inflation is not good. It is a hidden tax on citizens, it saps business confidence and it acts as a brake on investment. At the national level, a country that persistently runs higher inflation than another tends to end up with a weaker currency, higher interest rates, more volatility and a long-run loss of competitiveness and real incomes relative to the lower-inflation country.

For decades, that has been exactly the case of Mexico and the United States. Mexico has always had higher inflation and, partly as a result, a weaker currency and higher interest rates. In fact, part of the explanation for Mexico’s constant loss of real incomes is this consistently higher inflation.

But now, for the first time in many years (other than for a few months in the post-COVID pandemic period), Mexico actually has lower inflation than the United States. What could this mean for expats and foreign visitors to the country? What could it mean for businesses and investors? And what could it mean for Mexican citizens?

Find out in this week’s episode of Mexico News Daily’s “Confidently Wrong” podcast, as George and I discuss what this monumental economic milestone could mean for Mexico in the coming months and years. This episode will certainly help provide context and perspective on the topic. Enjoy!

Confidently wrong about inflation: Season 3 - Episode 4

Travis Bembenek is the CEO of Mexico News Daily and has been living, working or playing in Mexico for nearly 30 years.

Have something to say? Paid Subscribers get all access to make & read comments.
A woman arranges limes at a Mexican market display with price signs

Inflation rises to 3.45% in September as fruit and vegetable prices climb nearly 9%

MND Staff - 0
Core inflation eased to 3.75% as the annual headline rate hit its highest level since May, but still well below the 4.59% peak recorded in March.
Rows of new parked cars ready for export

Mexico’s auto parts output hit a record high in July, but assembled vehicle production and exports are declining

MND Staff - 0
As the main supplier of auto parts to the United States, Mexico accounted for 43.6% of total U.S. imports of parts and components in July, and Mexico's cumulative Jan-July auto parts production reached US $74.68 billion, an 8.8% increase compared to the first seven months of 2025.
García alongside executives of Apollo Global Management

Nuevo León Gov. García announces US $600M in data center infrastructure investment

MND Staff - 0
Nuevo León, like Querétaro to its south, is on a roll in attracting high-tech investment projects, especially data centers for the AI industry. But how long can their power grids hold up under the increasing stress?
BETA Version - Powered by Perplexity

VIDEO OF THE WEEK