Moody's Downgrades Mexico's Credit Outlook to Negative

Moody's cites judicial reforms and rising government debt as key factors in the downgrade.

Moody's has downgraded Mexico's credit outlook from stable to negative, highlighting concerns over judicial reforms and increasing government debt.
The recent constitutional changes in Mexico could weaken judicial independence, raising fears about potential impacts on economic and fiscal stability.
President Claudia Sheinbaum criticized the downgrade, suggesting that rating agencies have a bias against the economic policies of her party.
The Mexican government faces challenges with a widening fiscal deficit and potential additional financial support for the indebted state-owned oil company, Pemex.
Mexico's economy is projected to grow modestly in 2025, but analysts express skepticism about optimistic government forecasts for currency and inflation improvements.