Forex Money for Exchange in Currency Bank (Photo credit: epSos.de)
Mexico is growing its economy and trading heavily with the United States, an expert said last week.
Chairman and CEO of ABC Capital Mario Laborin Gomez, the keynote speaker at a panel discussion on the Mexican economy and trade with the United States at the University of Texas at Brownsville, explained just how both countries’ economies correlate.
“Mexico is tied to the largest economy in the world,” Laborin Gomez told a packed lecture hall.
ABC Capital is a commercial bank and the largest independent loan servicing company in Mexico. He served in the cabinets of two Mexican presidents as CEO of Nacional Financiera for President Vicente Fox, and he continued that appointment and also became CEO of Bancomext for President Felipe Calderon.
Both economies became closely entwined in 1994 when the North American Free Trade Agreement was signed between the U.S., Canada and Mexico.
“Eighty percent of trade for Mexico is tied with the United States,” he said, adding that the Mexican economy is not only good — it’s growing.
According to the Office of the U.S. Trade Representative, NAFTA created the world’s largest free trade area, which now links 450 million people producing $17 trillion worth of goods and services.
In 2010, Mexico purchased $163.3 billion in U.S. exports and exported $229.7 billion in goods to the U.S. Canada exported $275.6 billion in goods to the U.S. that same year.