Interest rates have fallen from the peso crisis peak of 65-70 percent to settle near 35 percent, while inflation is forecast to exceed no more than 30 percent, down from 52 percent last year. Manufacturing output grew 2.4 percent during the first quarter of 1996, compared to a decline of 8.1 percent for the same period last year, signaling strength in this key sector. Most analysts are cautiously optimistic about recovery of the Mexican economy, which appears poised to steadily grow this year. U.S. agriculture is performing well and is in a position to make further gains as trade expands. No part of this publication may be copied or redistributed for commercial purposes.
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