INEGI's data shows that the primary sector, which includes agriculture, forestry and fishing, grew 4.7% annually in April. (Estrella Josento/Cuartoscuro)
The national statistics agency INEGI reported on Tuesday that the economy grew 2.2% in annual terms in April and 1.2% compared to the previous month.
The month-over-month growth rate was the highest for any month since March 2021, when the economy expanded 1.6% compared to the previous month. The annual growth rate in April was well above the 0.4% year-over-year expansion in the first quarter of 2026.
INEGI’s data shows that construction activity was a key driver of economic growth in April. The construction sector grew 10.2% in April compared to the same month a year earlier, and 7.6% compared to March.
Gabriela Siller, director of economic analysis at Banco Base, wrote on X that it is believed that the month-over-month growth of the construction sector was driven by projects related to the FIFA men’s World Cup, which Mexico is currently co-hosting with the United States and Canada.
Alejandro Saldaña, chief economist with the Ve por más (BX+) financial group, told El Financiero TV that INEGI’s economic data for April “exceeded analysts’ expectations.”
Economic growth by sector
INEGI’s data shows that the primary sector, which includes agriculture, forestry and fishing, grew 4.7% annually in April. However, the sector contracted 0.4% compared to March.
The secondary sector — which includes manufacturing, construction and mining as well as the electricity, water, and gas industries — grew 1.8% in annual terms in April and 2.1% compared to March.
Within the secondary sector, manufacturing activity declined 0.3% in April compared to a year earlier, but increased 1.2% compared to March. Mexico’s export revenue — which is principally derived from the shipment abroad of manufactured goods — has increased despite the Trump administration’s imposition of tariffs on various Mexican products. However, U.S. duties on light, medium and heavy vehicles have hindered the growth of the Mexican automotive industry.
INEGI’s data also shows that the mining sector grew 3.4% annually in April, but contracted 0.7% compared to March.
Construction related to the World Cup likely boosted the secondary sector in April. (Camila Ayala Benabib/Cuartoscuro)
Finally, the tertiary or services sector — Mexico’s largest economic sector — grew 2.4% in April compared to the same month a year earlier, and 0.7% compared to March. Within the services sector, the wholesale sector grew 10.1% in April in annual terms, while the industry encompassing health and social assistance services expanded 3.8% compared to a year earlier.
A few sub-sectors of the tertiary industry contracted in annual terms in April, including that encompassing temporary accommodation and food and beverage preparation, which shrank 2%.
The outlook for the remainder of 2026
While the economic data for April is good news, INEGI published preliminary data last week that estimated 0.0% month-over-month growth in May and an annual expansion of 1.1% in the same month. Those figures represent a significant slowdown compared to April. However, they could be revised. Indeed, INEGI’s preliminary data for April estimated annual growth of just 0.3%, a figure that was revised upward to 2.2% in the final data.
Regarding the second half of 2026, current signs point to a continued improvement in economic activity, according to Rodolfo Ostolaza, deputy director of economic studies at Banamex.
“We continue to expect that the economy will maintain a trajectory of gradual recovery during the rest of the year,” he said.
Ostolaza predicted that the economy would be “supported by a slight recovery of public and private investment” in the second half of 2026 as well as “an improvement in formal employment,” strong exports and a less restrictive monetary policy.
The Mexican Finance Ministry is forecasting economic growth in the range of 1.8%-2.8% this year, but private sector analysts are generally less optimistic. Among analysts from 35 banks, brokerages and research organizations recently surveyed by Citi, the median GDP growth projection for Mexico in 2026 is 1.1%, with the range of estimates going from 0.5% to 1.5%.
In April 2026 — our second focus month — the MND Economy Index™ scored 67.55, a more than 4-point jump from March's score of 63.39. (Mexico News Daily)
THE MND ECONOMY INDEX™
Providing broad insight into the Mexican economy
MND Intelligence · Second edition
Welcome to the second edition of the MND Economy Index™, part of the MND Intelligence™ suite of data products from Mexico News Daily.
The MND Economy Index™ is a 10-pillar, 19-indicator composite index that compiles a broad range of economic data into a single score between 0 and 100, giving Mexico News Daily readers a clear, accessible picture of how the Mexican economy is performing across multiple dimensions.
In the inaugural MND Economy Index™ article, we not only analyzed the index score — 63.39 out of 100 — but also explained what the index is, why we developed it and how it works. Click here to read (or re-read) those explanations.
In the June edition of the MND Economy Index™ — which uses economic data primarily from the month of April — the index score increased by more than four points compared to the inaugural edition to reach 67.55. That score is above the neutral benchmark of 60, but there is certainly room for improvement.
(Mexico News Daily)
Before we look more closely at the latest index result, and the index trend in early 2026, here is a short guide to what the overall index score means.
85–100: Exceptional — the economy performing at a high level across nearly all indicators.
75–84: Strong — broad-based performance with only minor areas of concern.
60–74: Above neutral — meaningful strengths, but with notable room for improvement.
50–59: Mixed — passing marks overall, more indicators above benchmark than below.
Below 50: Broad underperformance — more indicators below benchmark than above.
The MND Economy Index™ trend in early 2026
The first two MND Economy Index™ scores we calculated for 2026 — both corresponding to the first quarter of the year — were very similar.
The first index score we calculated for 2026 was 63.69, a number derived mainly from economic data for the month of February. The index score declined slightly to 63.69 based on a calculation using data that was primarily for the month of March.
While there was little variation in the index score across those two editions, there were some significant changes in individual pillar scores, including the Inflation one and the Sovereign Risk one (see more details here).
Our June edition score, as noted above, is derived mainly from economic data corresponding to the month of April.
(Mexico News Daily)
The 4.16-point jump to an index score of 67.55 is an encouraging development. As you’ll see below, the biggest contributor to the increase was the Economic Growth pillar, whose score increased 3.4 points compared to the inaugural edition of the MND Economy Index™.
The June edition of the MND Economy Index™ (based mainly on April data)
As noted above, the MND Economy Index™ score for this June edition — based mainly on data for April 2026 — was 67.55, a 4.16 percentage point increase compared to the previous month. Below you will see the score for each of the ten pillars that make up the index, expressed out of 10 to reflect each pillar’s exact contribution to the final composite score.
Pillars are color-coded using a traffic light system: green (a score above 7.5) indicates strong performance; yellow (5.0–7.5) signals decent performance but with room for improvement; and red (below 5.0) flags a pillar that is falling short of its benchmark. Where a pillar score has improved compared to the previous month, an upward arrow appears alongside its corresponding traffic light; a downward arrow indicates deterioration; and a pause symbol denotes no change.
(Mexico News Daily)
As you’ll see below, scores for nine of the ten MND Economy Index™ pillars increased in April compared to the previous month.
🟢 ⬆️ MONETARY POLICY (9.35):
The score for this pillar improved to 9.35 in April from 9.2 in March. The Bank of Mexico’s benchmark interest rate remained at 6.75% in April after a 25-basis-point cut to that level in late March. The rate is just above the top end of the central bank’s estimated neutral range. The improvement in the pillar score came solely from the change in Mexico’s real interest rate — i.e., the Bank of Mexico’s benchmark interest rate minus the annual headline inflation rate. The real interest rate in April was 2.30%, slightly closer to the 2.7% neutral midpoint than the 2.16% real rate in March. The improvement in the overall score for this pillar ensured that Monetary Policy remained the index’s top-performing pillar in April 2026.
🟢 ⬆️ INFLATION (8.55):
The score for this pillar increased to 8.55 in April from 8.2 in March. Inflation eased to 4.45% in April from 4.59% in March, causing an increase in the score for the current inflation component of the pillar. The score for the pillar component that considers the 12-month forward inflation forecast also improved, as the Bank of Mexico anticipates an annual rate on par with its 3.0% target in April 2027. The central bank forecasts that the annual inflation rate will be slightly above its target in the first quarter of next year.
🟢 ⬆️ MANUFACTURING SECTOR HEALTH (8):
The score for this pillar also increased in April, rising to 8 from 7.8 in March. The exports component of the pillar remained at the maximum score due to a 32.6% annual increase in export revenue in April, up from a 27.7% year-over-year gain in March. The increase in the overall pillar score was due to a higher annual increase in manufacturing output in April compared to March. Manufacturing production increased 1.9% annually in April, up from 1.1% in March.
🟢 ⬆️ INVESTMENT CLIMATE (7.65):
The score for this pillar increased to 7.65 in April from 7.5 in March. The pillar thus moved into green traffic light territory. The top contributor to the pillar in April was the S&P/BMV FIBRAS Total Return Index, which tracks the performance of Mexico’s listed real estate investment trusts. The index grew 32.2% annually to the end of April, up from a 27.9% year-over-year increase at the end of March. The score for the foreign direct investment component of the pillar fell slightly as data published by the Economy Ministry in May showed that FDI increased 10.4% annually in the first quarter of 2026, a result that is marginally weaker than the 10.8% growth recorded in 2025. The 10.8% annual growth rate for FDI was used in our previous edition of the MND Economy Index™ as the Q1 data was not available at the time.
🟡 ⬆️ SOVEREIGN RISK (7.45):
The score for this pillar increased to 7.45 in April from 6.7 in March. Mexico’s sovereign credit ratings from Fitch (BBB-), S&P (BBB) and Moody’s (Baa2) remained unchanged in April, and therefore there was no change in that component of the pillar score. Moody’s downgraded Mexico’s credit score to Baa3 in May. Also in May, S&P revised its outlook on Mexico’s sovereign rating from stable to negative, a development that — in addition to Moody’s downgrade — will weigh on this pillar in the next edition of the MND Economy Index™. The improvement in the overall pillar score in April came entirely from a narrowing in Mexico’s 5-year credit default swap spread, which declined to 89.70 basis points in April from 110.29 basis points in March. The decline reflected a decrease in the market-implied cost of insuring against a Mexican sovereign default.
🟡 ⬆️ CURRENCY STABILITY (6.8):
The score for this pillar increased to 6.8 in April from 6.2 in March. The improvement in the score was due to decreased volatility of the Mexican peso in April. The standard deviation of daily exchange rate movements fell to 0.47% in April from 0.94% the previous month. The increase in the score for that component of the pillar more than offset a decline in the spot rate score. The score for that component declined as the peso strengthened against the US dollar in April to trade at 17.47 to the greenback at the end of the month. The exchange rate thus moved further away from the index’s 19.00 USD:MXN baseline, which is based on the 2025 average rate. This pillar penalizes significant deviation from the 19.00 USD:MXN baseline in either direction, recognizing that a peso that has strengthened too far from this benchmark can erode export competitiveness and reduce the purchasing power of remittances, just as a weakening peso raises import costs
🟡 ⬆️ LABOR AND EMPLOYMENT (5.95):
The score for this pillar increased slightly to 5.95 in April from 5.9 in March. The improvement was due to a 1.5% annual increase in the number of people in formal sector jobs, up from a 1.2% gain in March. Nominal wages rose 6.9% year-on-year in April — down fractionally from 7.1% in March, but still well above the 3.5% benchmark. The overall pillar score was held back by the informality component, as the share of workers in the informal economy grew by 0.5 percentage points year-on-year. Over 55% of all Mexican workers worked in the informal economy in April.
🟡 ⬆️ ECONOMIC GROWTH (5.4)
The score for this pillar surged to 5.4 in April from just 2.0 in March. The sharp increase was due to a significant increase in Mexico’s annual economic growth rate. The annual growth rate in April was 2.2%, according to final data published by INEGI this week. The annual economic growth rate in March was just 0.5%. With GDP growth exceeding 2% in April, the score for this pillar exceeded 5 for the first time this year. While Economic Growth remains one of the index’s worst-performing pillars, the significant increase in the score is a clear positive. President Claudia Sheinbaum predicts that economic activity will pick up in the second half of 2026 as new public and private investment projects commence. World Cup-related spending, including by international tourists, could also increase Mexico’s growth rate in June, and also possibly in July.
🟡 ⬆️ EXTERNAL INCOME (5.2)
The score for this pillar also increased slightly in April, rising to 5.2 from 5.1 a month earlier. Incoming remittances grew 3.7% year-on-year — a decline compared to the 4.9% increase in March. Still, the remittances component of the pillar again provided a solid contribution to the pillar score, even as annual growth of the monetary transfers slowed. Ironically, the slight improvement in the overall pillar score was due to a 2.3% annual decline in tourism revenue. While the decline in tourism revenue was bad news, the contraction was not as large as the 4.4% year-over-year decrease in tourism spending in April.
🔴 ⬇️ PRODUCTIVITY (3.2):
The score for this pillar plummeted to 3.2 in April from an already low 4.8 in March. Data published by the national statistics agency INEGI in June showed that the IGPLE — INEGI’s quarterly productivity measure — increased only 0.1% annually in the first quarter of 2026. That level of productivity growth was significantly weaker than the 0.9% reading in the final quarter of 2025. An annual productivity growth rate of 0.1% is well below the 1.0% neutral benchmark, and thus, the score for this pillar is very low. In this edition of the MND Economy Index™, Productivity replaces Economic Growth as the worst-performing pillar.
The government's target is at least 38% of electricity from renewables across new and existing infrastructure by 2030. (Gabriel Monroy/Presidencia)
Sheinbaum’s mañanera in 60 seconds
🎂 Birthday mañanera: Reporters serenaded the president with “Las Mañanitas” as she turned 64 on Wednesday. Two large cakes appeared at the close of the press conference to the sound of the Beatles’ “When I’m Sixty-Four.” Sheinbaum said she’d be celebrating with pozole — one of her favorite dishes — at a birthday lunch with her husband.
🌀 Renewable energy push: Energy Minister Luz Elena González presented the government’s plan to add 32,475 megawatts of generation capacity to the national grid by 2030, with roughly 22,000 megawatts — around 70% — coming from renewable sources, predominantly solar (55%) and wind (30%). Total investment across CFE, joint ventures and private projects is projected at 739 billion pesos (US $41.9 billion). The government’s revised target is at least 38% of electricity from renewables by 2030.
☀️ Biggest solar farm in the Americas: CFE head Emilia Calleja highlighted the Rafael Galván Maldonado Solar Farm in Puerto Peñasco, Sonora, which upon completion of its four stages will reach 1,000 megawatts, making it the largest solar installation in the hemisphere.
📉 Two pieces of good economic news: Sheinbaum flagged that annual headline inflation fell to 3.55% in the first half of June, down from 3.94% in May, with tomato prices dropping nearly 24% compared to the second half of last month. She also cited INEGI data showing the Mexican economy grew 2.2% year-on-year in April despite U.S. tariffs and global uncertainty.
⚽ Vamos, El Tri: Sheinbaum wished the Mexican men’s national team luck ahead of their final World Cup group match against Czechia in Mexico City Wednesday night, polling reporters on scoreline predictions before declaring Mexico would win. The team has already secured a place in the knockout stage.
Why today’s mañanera matters
Reporters sang “Las Mañanitas” to President Claudia Sheinbaum at the start of her Wednesday morning press conference as she turns 64 today.
“For ‘Las Mañanitas’ there will be cake,” Sheinbaum said, and indeed two large cakes appeared in the Treasury Hall of the National Palace at the end of the mañanera as the Beatles song “When I’m Sixty-Four” played.
President Sheinbaum cuts a birthday cake at her mañanera on June 24, 2026. (Gabriel Monroy/Presidencia)
During her press conference, the president revealed she would eat pozole at her birthday lunch with her husband. Sheinbaum said that the iconic Mexican dish is one of her favorite foods.
The president’s birthday aside, a key focus at today’s press conference was the government’s renewable energy plan. Six months after announcing that private companies would invest US $4.75 billion to build 20 renewable energy projects across 11 Mexican states, Energy Minister Luz Elena González spoke about the government’s specific renewable energy goals during its six-year term, which will conclude in 2030.
Sheinbaum, a climate scientist who in 2024 was included on Time’s list of the “100 most influential climate leaders,” is an ardent advocate of renewable energy (unlike her predecessor Andrés Manuel López Obrador), but is also in favor of Mexico taking advantage of its fossil fuel resources, and has recently become a proponent of “sustainable fracking.”
At today’s mañanera, the president was firmly wearing her environmentalist, climate scientist hat, largely leaving her views on “sustainable fracking” — which the government appears likely to approve soon — for another day.
Also of note at today’s press conference was Sheinbaum’s acknowledgement of two positive pieces of economic news.
‘Renewable energy to strengthen sovereignty’
Sheinbaum announced early in her mañanera that Energy Minister González and the head of the Federal Electricity Commission Emilia Esther Calleja would present information about the government’s renewable energy plan.
She said that solar, wind and geothermal energy are all “available” in Mexico and can “guarantee sovereignty.”
“We don’t need to import [energy] because we’re going to use the sun, the wind, geothermal energy, biomass [energy],” Sheinbaum said.
She noted that another “virtue” of renewable energy is that it is “clean.”
Renewable energy sources “don’t emit greenhouse gases,” Sheinbaum said, adding that the cost of renewable projects has “significantly” declined.
“For us they are indispensable to change what is called the energy matrix,” she said.
González delivered a presentation entitled “Renewable energy to strengthen sovereignty.”
She presented data that showed that 32,475 additional megawatts of electricity generation capacity would be added to the national grid by 2030.
“We’re going to produce by 2030 around 32,000 additional megawatts of new energy,” González said.
“… Of these additional 32,000 megawatts, … 22,000 megawatts will be generated from renewable sources,” she said.
The exact figure she presented was 22,376 megawatts, accounting for around 70% of the additional capacity the government says will be added by 2030.
Around 55% of the new electricity generation from renewable sources will come from solar projects, while around 30% will come from wind projects, according to information González presented.
She said that the CFE, via its own projects and “mixed schemes” (i.e., joint ventures), will supply 79% of the additional electricity capacity to be added by 2030.
“An investment of 739 billion pesos [US $41.9 billion] will be made,” González said, referring to CFE projects, mixed scheme projects and private ventures.
Calleja, the CFE chief, said that the state-owned utility “will develop renewable energy projects in different regions of the country” in the coming years.
“Their location depends on the natural resources available in each of the regions,” she said.
Calleja presented a map of Mexico that showed that the CFE will undertake solar, wind, geothermal, hydroelectric and green hydrogen projects in different parts of the country.
Once finished, the Rafael Galván Maldonado Solar Farm in Puerto Peñasco, Sonora, will be the largest of its kind in the Americas. (@CFEmx/X)
“When we conclude the four stages of this project, we’re going to have a total capacity of 1,000 megawatts of energy. This will make it the largest solar farm in the Americas,” Calleja said.
“… In summary, and this is the most important thing, the CFE has a solid base of renewable generation [and] we’re increasing that capacity across the entire country and we’re doing it without losing sight of what is essential: guaranteeing sufficient, affordable and reliable electricity for all Mexican families,” she said.
Sheinbaum highlights declining inflation and growing economy
“I’m going to give you two pieces of good news about the country,” Sheinbaum told reporters.
She first highlighted that the national statistics agency INEGI reported on Wednesday that Mexico’s annual headline inflation rate declined to 3.55% in the first half of June. The annual headline rate for the month of May was 3.94%.
“They said that the price of tomatoes couldn’t go down,” Sheinbaum said. “The price of tomatoes now went down.”
Indeed, INEGI reported that tomatoes were 23.98% cheaper in the first half of June than in the second half of May.
Without predicting a scoreline, the president declared that Mexico will win. The Mexican team, commonly known as El Tri, has already qualified for the knockout stage of the World Cup thanks to its 2-0 victory over South Africa on June 11 and its 1-0 win over South Korea last Thursday night.
By Mexico News Daily chief staff writer Peter Davies (peter.davies@mexiconewsdaily.com)
Long a favorite for Mexican vacationers, Bacalar remains an underrated gem for international travelers, thanks to its pristine lagoon and spectacular sunsets. (Liz Aguayo/Unsplash)
Bacalar is one of those places you need to see to believe. A shimmering lake in the most idyllic shade of turquoise seems to extend endlessly, like an extension of the picture-perfect Caribbean. Except it’s not the sea at all — it’s the Laguna de Bacalar, a freshwater lake, the second largest in Mexico. Known as the “Lake of Seven Colors,” the waters here are so brilliantly blue and translucent that Bacalar has also been bestowed with the moniker of the “Maldives of Mexico.”
Laguna de Bacalar is a 42-square-kilometer lake that sits tucked in the southeastern corner of the state of Quintana Roo. Steeped in Maya history, Spanish conquests and pirate lore, the lake is anchored by the Pueblo Mágico of the same name, known for its eco-friendly accommodations, boho vibe and laid-back lifestyle.
Called the “Lake of Seven Colors,” Bacalar’s pristine lagoon is not only picturesque but perfect for many outdoor activities. (Dimitris Kiriakakis/Unsplash)
About five hours south of Cancún, this breathtaking slice of scenery was a well-kept secret for years. Now, however, with the expansion of tourism in Quintana Roo and the addition of the Maya Train and Tulum International Airport, Bacalar is growing faster than ever, poised to be Mexico’s next beachy hotspot.
Let’s dig a little deeper into this exciting location, which ought to be on your travel radar if it isn’t already.
How to get to Bacalar
Up until recently, Bacalar was a bit of a hike to get to, which is why it stayed off the gringo tourist trail for so long. But Bacalar is anything but a secret to Mexican nationals, who have been naming it as one of their top vacation destinations for decades.
Nowadays, visitors can get to Bacalar in a variety of ways. They can fly into Cancún and rent a car for the five-hour drive or take a long-distance bus. Another option is to fly into Chetumal, which is only 45 minutes from Bacalar, or into the Tulum International Airport, which is two and a half hours away.
Best things to do in Bacalar
A scan across the crystal waters of Bacalar reveals a snapshot of life on the lake. Kayaks slip across the surface, while sun worshippers lounge on wooden docks. The only soundtrack is that of the birds in the trees and the gentle lapping of the water. For residents and visitors, Bacalar is all about the lake, as well as relishing its natural beauty, tapping into the history of the region and keeping the environment as well-preserved as possible.
Visit the Fort of San Felipe
Get acquainted with the history of Bacalar with a visit to the Fort of San Felipe. The stone fort sits right at the entrance to the town of Bacalar, with views out over the bright blue waters of the lake. The fort dates back to the 18th century and was developed to protect Bacalar from international pirates. In the middle of the 19th century, the fort was taken over by rebel Mayans during the Caste War of Yucatán. Today it operates as a museum, telling the multicultural history of southern Quintana Roo and the lake.
Bacalar’s activities options include beach lounging, strolling colorful docks, cenote snorkeling and sailing on the lake. (Fernando Gutierrez/Unsplash)
Snorkel the Cenote Azul
The earth beneath the streets and forest floors of the Yucatán Peninsula is practically honeycombed with spectacular underground caves and cisterns known as cenotes. These subterranean natural wonders have been celebrated by Maya peoples for thousands of years as entrances to Xibalba, or the underworld. Bacalar has its fair share of cenotes within a short distance, but none is as famous as the Cenote Azul. Reaching depths of over 90 meters, the dark blue hole is separated from the lagoon by a thin strip of land. Visitors can swim and snorkel the lagoon to explore its mysterious depths or simply lounge on its banks and enjoy the view.
Sail the lake
Of course, nothing is as exciting as getting out onto the lake itself. Visitors to Bacalar can sign up for one of the many organized sailing tours that cruise across the lake throughout the day and into the sunset. Sunset experiences on the lake are like none other, as the sky melts into pinks and purples, mirrored on the surface of the lagoon. Many of the lake clubs and lakefront hotels have kayaks and paddleboards for guests to take out as well. You can even navigate your way through the Canal de los Piratas, which pirates used to secretly enter the lagoon in the 18th century during their many attempts to attack the town of Bacalar.
Explore downtown
The village of Bacalar is wonderful. Picture Tulum 20 years ago, and you’re getting close to what it’s like in Bacalar today. The sleepy village is bite-sized and webbed with sand-strewn streets. Though it has accumulated a healthy handful of funky shops, bars and restaurants, it is still a far cry from the frenetic energy of Playa del Carmen and Tulum.
Lounge at a Lake Club
Bacalar may not have the miles of white, sandy beaches that you’ll find at other Mexican Caribbean destinations. But it does have a few small beaches and overwater docks that stick out into the lagoon. These affordable establishments usually charge a small fee to use facilities like the docks, hammocks, kayaks and restaurants.
Where to eat in Bacalar
Bacalar’s culinary scene is one of the most up-and-coming in the country, where boho-chic design meets locally sourced ingredients.
Breakfast in Mexico is nothing short of an art, and the chefs at El Manatí are some of the best artists around. Hungry morning people flock for their thick burritos, overstuffed omelets, chilaquiles and fluffy pancakes. They also have fabulous smoothies and strong coffee. What makes this spot unique is the tropical patio setting and the splashes of colorful murals. El Manatí even has live music for brunch now and then too.
Speaking of brunch, Mi Burrito Bacalar is one of the best spots in town for a mid-morning meal. If you’re craving plump burritos, this is the place to be. The restaurant is nothing more than a wooden awning that creates a casual dining place in front of the burrito truck. But it’s got exactly that no-frill, casual atmosphere that visitors love so much about Bacalar.
With a direct view over the lagoon, this is one of the best tables in town. The relaxed setting sets the scene for fish tacos, ceviche, shrimp, grilled burgers and tropical cocktails. They have a dock that is part of the restaurant from which you can jump straight into the lagoon, so pack a bag and make a day of it.
For such a small town, Bacalar has a lot to offer vegan travelers. Mango y Chile is one of the most popular vegan restaurants in town. Their menu serves vegan burgers, tofu sandwiches, salads and tacos.
Best Bacalar Hotels
The beauty of Bacalar is that its accommodations are as relaxed as the scene itself. A stay in Bacalar is about disappearing into nature, dialing down the high speed and embracing a minute-by-minute lifestyle. You won’t find international chains or all-inclusive resorts here. Bacalar is boutique and eco-friendly and lets the tranquility of the destination tell the story.
A collection of bungalows and villas scattered along the lakefront of the lagoon. The palapa-topped dock is one of the most serene in Bacalar, complete with hammocks that sway out over the water. A lakefront restaurant serves fresh seafood and strong drinks, while activities include a pool, kayaks and paddle boards and a small spa.
Hotel Makaaba exudes that backpacker hotel vibe that many of us fell in love with in Mexico during our twenties, but it has elevated the experience to make it more comfortable for travelers in their thirties and forties. It is still extremely affordable, at just over US $100 a night with breakfast included. But the design touches and comfortable accommodations mean it’s geared toward a more sophisticated traveler. The restaurant here is one of the best in town, and the pool is the center of the social activity, with over-water nets perfect for lounging with a good book.
Rancho Encantado’s location cannot be beat, with villas and bungalows set lakefront on Laguna de Bacalar. (Rancho Encantado)
This boutique resort opened in 2020, with the ethos of being a jungle sanctuary and a place for rituals and healing. With one of the most beautiful designs, Casa Hormiga’s energy embodies the low-impact backpacker spirit, albeit with a decidedly chic and sophisticated aesthetic. The design takes cues from places like Morocco, Central America and, of course, Mexico. The heart of the hotel is its lengthy list of rituals, which include everything from massages and sound baths to aromatherapy and breathwork.
Meagan Drillinger is a New York native who has spent the past 15 years traveling around and writing about Mexico. While she’s on the road for assignments most of the time, Puerto Vallarta is her home base. Follow her travels on Instagram at @drillinjourneys or through her blog at drillinjourneys.com.
Baja California Sur is expecting a stronger-than-average hurricane season in 2026, potentially exacerbated by Super El Niño conditions. (NASA/Unsplash)
“This is the year we get hit by a major hurricane.” No one has said it in exactly those words. But I’ve heard the sentiment echoed in various ways by friends about Baja California Sur’s 2026 hurricane season (May 15 to Nov. 30 for the Eastern Pacific).
As for the reasoning, it’s based largely on two things: the idea that we’re overdue — the region hasn’t experienced a catastrophic hurricane since Odile in 2014 — and the fear of a “Super El Niño,” which it appears there’s a good chance the current El Niño climate pattern may intensify into by November or December, potentially extending hurricane season beyond its official end date.
Category-4 Hurricane Odile in 2014 was the strongest storm ever to hit the Baja California peninsula, leaving over a billion dollars in damage in its wake. (Gobierno de México)
The “overdue” argument has no basis in scientific fact, of course. However, there is anecdotal evidence that suggests there is one major storm per decade that seems particularly destructive, and that lives on in the memories of regional residents: Liza in 1976 (the deadliest storm in the state’s history), Paul in 1982, Fausto in 1996, Juliette in 2001 and Odile in 2014, bringer of over one billion dollars in property damage, being the emblematic examples from the last 50 years.
The Super El Niño, on the other hand — meaning simply a very strong El Niño with water temperatures 2 degrees Celsius or more above average — is a very real and very scary possibility.
What could a Super El Niño mean for Baja California Sur’s 2026 hurricane season?
Hurricanes can’t occur until ocean water hits a certain temperature: 26.5 degrees Celsius, or 80 degrees Fahrenheit. The warmer the water gets, beyond that point, the more likely hurricanes are to develop, the stronger and longer lasting they’ll be and the more prone to rapid intensification. So, supercharging temperatures by an additional 2 degrees Celsius (3.6 degrees Fahrenheit), the definition for a Super El Niño, on top of an already record-hot, human-warmed climate, is a recipe for disasters.
El Niño itself is simply the warming range of the El Niño-Southern Oscillation climate pattern (ENSO), as opposed to the cooling of surface temperatures associated with La Niña. As of June 11, per the National Oceanic and Atmospheric Administration (NOAA), the Pacific Ocean has entered the El Niño phase, with a certainty it remains at that level through the end of hurricane season and a 63% chance that it reaches the “very strong” threshold for the so-called Super El Niño phenomenon. If it happens, it would only be the fourth time in the last 50 years: following the 2015-16, 1997-98 and 1982-83 occurrences.
The ocean has never been hotter
In each of those cases, Super El Niños were associated with suppressed hurricane activity in the Atlantic Ocean, but strongly enhanced storm activity in the Pacific. However, in none of those years were the water temperatures as hot as they are now. That’s because, as the Institute of Atmospheric Physics at the Chinese Academy of Sciences noted last year, “The ocean is the hottest it has ever been recorded by humans, not only at the surface temperature but also for the upper 2,000 meters.”
Sea surface temperatures in the Pacific were already heating up in May, a trend that will continue through the end of the year, and could reach Super El Niño status by November. (NASA)
So a Super El Niño this year would take us into uncharted territory, with Pacific Ocean sea surface temperature raised beyond known limits.
Projections for the 2026 season
Whether or not Super El Niño conditions arise as expected, the Eastern Pacific region will almost certainly see above-normal storm activity during Baja California Sur 2026’s hurricane season due to the warmer water temperatures. NOAA is predicting 15–22 named storms for the 2026 season, 9-14 of which will be hurricanes and 5-9 will be major hurricanes (Category 3 or higher, with maximum winds above 111 miles per hour), a notably high number.
Mexico’s National Meteorological Service, meanwhile, was more conservative in its predictions: 18-21 named storms and 5-6 hurricanes, of which only 4-5 will be major ones.
Hurricane preparedness in Baja California Sur
Predicting the future is a notoriously difficult business, even for weather agencies. So in Baja California Sur — where hurricanes are historically much more likely than in the state of Baja California — preparedness is the watchword.
“We must not be negligent,” warned BCS Governor Victor Castro, per El Sudcaliforniano. “It is essential that people living in high-risk areas heed the recommendations and not remain in their homes in case of an emergency, because that is where the greatest tragedies stem from. It cannot be due to complacency or carelessness.”
Civil protection authorities from Los Cabos attended national meetings in Veracruz in April to be better prepared for this year’s hurricane season. (Ayuntamiento de Los Cabos)
The governor’s recommendation to residents was the creation of an emergency backpack, the contents of which include at least three days’ worth of water and non-perishable food, waterproof protection for important documents, flashlights and batteries, plus hygienic items and a first aid kit.
Readiness in La Paz and Los Cabos
Operational plans are also in place for the municipalities of La Paz and Los Cabos, with the former having already designated 32 temporary shelters — eight in urban areas, 24 for rural communities — in case of hurricanes or other powerful storms, with these shelters capable of accommodating up to 2,450 people. Additionally, a dozen specialized response brigades will be on call for search and rescue, with a Safe Crossings Operation in effect for 27 locations considered at high risk for water runoff.
Similar preparations have been made in Los Cabos, where 40 temporary shelters have been readied (some hotels have also been certified as shelters, if needed), and 13 specialized brigades sworn in for emergency use in rescues and evacuations. The municipality’s civil protection authorities also attended April meetings in Veracruz as part of a national effort to develop better preventative strategies and response protocols.
Chris Sands is a writer and editor for Mexico News Daily, and the former Cabo San Lucas local expert for the USA Today travel website 10 Best and writer of Fodor’s Los Cabos travel guidebook. He has also contributed to numerous other websites and publications, including The San Diego Union-Tribune, Marriott Bonvoy Traveler, Forbes Travel Guide, Porthole Cruise and Travel, and Cabo Living.
The partial "ley seca," or dry law, is aimed specifically and exclusively at the neighborhoods in and near the Historic Center where most post-game celebrations take place. (Mario Jasso/Cuartoscuro)
The Mexico City government has announced a dry law for Wednesday ahead of the Mexican national team’s 7 p.m. match against the Czech Republic, which will be held at Mexico City Stadium.
The statement was published in the Official Gazette, establishing that the prohibition on the sale of alcoholic beverages of any strength will begin at 3 p.m. on June 24, four hours before the game, and will end at 7 a.m. on Thursday, June 25.
If you’re thinking of picking up a bottle of wine to enjoy while watching Mexico’s game against the Czech Republic Wednesday night, make sure you buy it before 3 p.m. if the store is in Mexico City’s Centro, Tabacalera, Juárez, San Rafael or Cuauhtémoc neighborhoods. (Rogelio Morales/Cuartoscuro)
The ban will apply only in the following colonias (neighborhoods) where celebrations usually take place: Centro, Tabacalera, Juárez, San Rafael and Cuauhtémoc.
This ban will apply to stores that sell alcohol, including convenience stores, supermarkets and grocery stores.
However, the sale of alcoholic beverages by the glass with food will be permitted in restaurants, banquet halls, hotels and private clubs. Cinemas, theaters and auditoriums will also be exempt from the restriction.
Authorities will also reinforce operations against the illegal sale of alcohol in public spaces, a practice that tends to increase during major public events.
Mexico City’s Interior Minister César Cravioto made the announcement as part of broader preventative strategies to avoid incidents during the upcoming FIFA 2026 World Cup matches.
The move comes after more than 400,000 people gathered along Mexico’s central Reforma Avenue after the national team’s win against South Korea on Thursday.
While the city’s security operation helped maintain general order, some isolated incidents were reported. Still, according to the Mexico City government, “at least five people“ (out of 400,000) were arrested for participating in altercations during the celebrations.
In addition, urban cleaning crews removed nearly 40 tonnes of garbage from the streets. Minor damage to street furniture was also reported.
The Mexico City government is also repeating preventive measures used in the June 11 opener to enhance safety for fans attending the match. Vehicle restrictions will be in place around Mexico City Stadium on Wednesday, while fans trying to reach the stadium via public transport (for example, via the light rail line) will also be asked to show their tickets or credentials to board the train.
The drug bust resulted in the arrest of Jorge "N," an alleged member of the Sinaloa Cartel. (SSPC/Cuartoscuro)
Federal authorities seized 24,400 liters of liquid methamphetamine in Los Mochis, Sinaloa, last week, the second-largest seizure of the drug in Mexican history. One person was arrested in connection with the bust.
The Ministry of National Defense (Defensa) announced the seizure in a statement on Monday, while Security Minister Omar García Harfuch took to social media to broadcast the confiscation.
Personal de @Defensamx1, @GN_MEXICO_ y @FGRMexico realizaron una operación en Los Mochis, Sinaloa, donde detuvieron a una persona y aseguraron 24 mil 400 litros de metanfetamina líquida, además de precursores químicos, vehículos, cargadores y municiones.
Este aseguramiento… pic.twitter.com/GHEcq6fdv4
Defensa said that an operation on June 19 and 20 in Los Mochis that was led by the National Guard and supported by the Mexican Army and personnel from the Federal Attorney General’s Office (FGR) resulted in the arrest of Jorge “N,” an “alleged member of the ‘Pacific Cartel,'” which is better known as the Sinaloa Cartel. He was placed in the custody of the FGR in Los Mochis, a city about 210 kilometers northwest of Culiacán, the capital of Sinaloa.
Inside the Los Mochis property where the man was arrested — reportedly an agricultural warehouse — authorities seized 24,400 liters of liquid methamphetamine, as well as 98,640 liters and 59,425 kilograms of “chemical substances used for the production of synthetic drugs,” the Defense Ministry said. It also said that federal forces seized two vehicles, magazines for long guns and ammunition of various calibers.
García Harfuch wrote on X on Monday that the seizure in Los Mochis was “the largest liquid methamphetamine” seizure since the current government took office in October 2024 and the second largest on record in Mexico.
“These actions prevent the mass production of synthetic drugs, directly hit the operational and financial capacity of criminal groups, and strengthen our country’s security,” he wrote.
Defensa said that the seizure represented an economic blow to organized crime to the tune of more than 9 billion pesos (US $512.3 million).
García Harfuch said that “the instruction” — presumably from President Claudia Sheinbaum — “is clear: continue dismantling [illegal drug] laboratories, cut production chains and prevent these substances from reaching the streets.”
The security minister reported last week that authorities had dismantled 2,407 clandestine drug laboratories and seized 419.3 tonnes of narcotics since Sheinbaum took office in October 2024. He also said that authorities detained 56,134 people who allegedly committed high-impact crimes and confiscated 29,572 firearms between October 2024 and May 2026.
Sheinbaum and US ambassador acknowledge Los Mochis meth seizure
At her Tuesday morning press conference, Sheinbaum described the confiscation of 24,400 liters of liquid methamphetamine in Los Mochis as a “good seizure.”
“… It’s part of the daily work of the [government’s] Security Cabinet,” she said.
On X on Monday evening, U.S. Ambassador to Mexico Ronald Johnson wrote that “[t]his historic seizure of 24,000 liters of liquid methamphetamine in Sinaloa strikes a significant blow against the cartels and helps protect families on both sides of the border.”
“It is a reminder that when our countries work together, we deliver real results. Under the leadership of @POTUS @realDonaldTrump and President @Claudiashein,our cooperation is making our countries safer,” he added.
The Interoceanic Train, billed as an alternative to the Panama Canal, crosses the Isthmus of Tehuantepec to connect the coastal town of Salina Cruz on the Pacific and the port of Coatzacoalcos on the Gulf of Mexico, but since the accident only freight trains have been able to use it.
(Cuartoscuro)
President Sheinbaum says passenger service on the Interoceanic Train will not resume until early 2027, as her government reworks a deadly stretch of track in Oaxaca and tries to secure land rights for a safer route.
Sheinbaum said at her Monday morning press conference that specialists have delivered recommendations that are now under review with the federal Agency for Trains and Integrated Public Transport (ATTRAPI).
(Google Maps)
“We will announce them here and make them public,” she said. “We hope that passenger service will be operational next year.”
She acknowledged, however, that the government still lacks a finished plan and that agreements with several communities in Oaxaca will need to be struck before work can begin.
She also suggested passenger service could resume on an interim basis before the unsafe stretch is fully bypassed.
Attorney General Ernestina Godoy later said the crash was caused by excessive speed on a curve where the limit was 50 km/h (about 31 mph), citing black-box data showing the train hit 111 km/h (about 69 mph) on straight sections and exceeded the limit on six curves before leaving the tracks.
Two drivers were arrested on homicide and injury charges after the crash, but were later released under a settlement agreement with victims’ families.
Sheinbaum said the priority is to bypass a section known as “Rabbit Ears” — which includes sharp curves and steep slopes — on the approach to Salina Cruz, a key Pacific cargo port in the state of Oaxaca.
Rail specialist Carlos Barreda said the fix will likely require roughly 70 kilometers of new track and could take about a year.
The Interoceanic Train, a roughly 300-kilometer rail corridor linking Salina Cruz with the Gulf port of Coatzacoalcos, Veracruz, was inaugurated for passenger service in 2023 under former president Andrés Manuel López Obrador. It’s part of a broader Isthmus trade route billed as an overland alternative to the Panama Canal.
The cross‑isthmus Line Z includes multiple passenger stops in Veracruz and Oaxaca, though sources differ on the exact number of stations in regular use.
Freight trains have operated on the route for decades and continued running after the accident, but Line Z passenger operations were suspended immediately after the derailment.
The broader Interoceanic Corridor project includes additional links to Palenque, Chiapas, and toward the Guatemalan border. However, those elements of the corridor lie outside the main passenger route now under safety review.
The current Mexican jerseys are not only outselling any other nation's jersey, but, according to the Mexican Football Federation, they are the biggest selling jerseys in the history of the FMF.
(Victoria Valtierra / Cuartoscuro.com)
The Mexican national team’s jersey for the 2026 FIFA World Cup has become a commercial phenomenon, outselling every other jersey in the Adidas global portfolio, even surpassing world champion teams like Argentina and Spain.
According to ESPN, over a million shirts have been sold during the World Cup, a figure that is expected to rise as the tournament moves forward.
The jersey’s remarkable performance is perhaps attributable to the emotional connection Mexicans have with their national team, in addition to Adidas’s commercial strategy.
In an interview with Expansión magazine, Adidas Mexico General Manager Jorge Dionne said that Mexico’s jersey transcends sports and has become an expression of cultural identity and pride.
“The jersey represents Mexico on and off the field,” Dionne said, adding that the T-shirt is one of the “most beautiful designs” because it incorporates Mexican motifs that “make us proud.”
Moreover, the offering has been broadened to three official uniforms that players wear during matches, a commercial approach that diversifies demand and creates multiple shopping opportunities for fans.
In terms of sell-through, an indicator that measures the speed of sales relative to available inventory, the familiar green jersey used as the primary uniform has already sold approximately 55% of its inventory. The black jersey also sells through at 55%, while the white jersey has reached 35%.
The commissioner of the Mexican Football Federation (FMF) Mikel Arriola recently acknowledged that the national team’s green jersey has turned into the FMF’s best-selling soccer jersey.
“The players are so excited about this jersey, which, by the way, is the best-selling in the FMF’s history,” he said. “That ‘Sun Stone’ jersey is the best-selling in history with the current brand.”
Manufacturing has also played a key role in the jersey’s commercial success. While a large portion of national team jerseys is produced in Asia, a portion of the Mexican uniform’s production stayed in Mexico.
For that to be the case, Dionne says, “It has to say ‘Made in Mexico.’”
Beyond the uniform, the Mexican national team’s merchandise includes jackets, tracksuits, t-shirts, caps, footwear and even pet jerseys — a strategy that seeks to capitalize on the emotional connection fans have with the brand and the national team.
The Climate Investment Fund estimates that the Brazil and Mexico funding programs combined will prevent the annual release of CO₂ roughly equivalent to the CO₂ absorbed by 33 million trees. (Unsplash)
The Climate Investment Fund (CIF) last week announced it has approved US $500 million in catalytic financing for Brazil and Mexico intended to unlock billions of dollars in additional funding to accelerate the decarbonization of their industrial sectors.
The World Bank-managed reserve — a US $14 billion climate-focused equity fund — has endorsed this first-of-its-kind investment to spur industrial decarbonization efforts in Latin America’s two biggest economies.
Among the first Mexican industries that will benefit from decarbonization projects will be the ones that are hardest to clean up, according to the Finance Ministry: iron and steel, cement, chemicals and aluminum. (Daniel Moqvist/Unsplash)
“The global race to decarbonize industry has begun, and emerging markets are out front,” CIF CEO Tariye Gbadegesin said. “Decarbonizing industry is about more than emissions — it’s about securing long-term prosperity and the jobs of tomorrow.”
Both countries are rapidly developing their industrial bases and, in Mexico, industry currently accounts for 18% of greenhouse gas emissions.
Brazil and Mexico will each get US $250 million and, although this figure might be considered modest, the design is not. The grant is intended to act as bait, “catalyzing” far larger sums from banks and private investors.
In Mexico, the investment is expected to activate US $1.68 billion in co-financing, including as much as US $1.2 billion from private investors. Participating institutions include the IDB Group and World Bank Group’s private and public sector arms.
“As Mexico advances in the implementation of Plan México and the National Development Plan 2025–2030, industrial transformation has become a strategic priority,” said María del Carmen Bonilla, undersecretary of finance and public credit with Mexico’s Finance Ministry.
Bonilla said Mexico will focus on the industries hardest to clean up, such as iron and steel, cement, chemicals and aluminum.
In a press release, the CIF said, “The investment plan [for Mexico] channels resources through non-sovereign-guarantee instruments to maximize private capital mobilization.”
The grants “will be deployed on a project-by-project basis through a range of financing instruments, including senior, subordinated and mezzanine debt, and in some cases, equity investments and guarantees,” the CIF told the online platform Latin Finance.
Combined, the two programs are expected to prevent the release of nearly 2 million metric tons of CO₂ into the atmosphere annually — roughly equivalent to the CO2 absorbed by 33 million trees — while supporting the creation of green jobs, the press release said.
Catalytic financing is designed to reduce risk, thereby bringing in private, public and institutional capital that might otherwise avoid a project.
