**The Dollar’s Stability Expected to Last Until 2025**
The U.S. dollar is predicted to remain in a state of low volatility until the end of 2025. Experts, such as economist Jorge Fonseca, suggest that if the upcoming 2025 economic package does not present any major surprises, the exchange rate by December could remain steady or even fall below 19 pesos per dollar.
Currently, the dollar is experiencing limited fluctuations, mainly influenced by the Mexican government’s presentation of the 2025 budget package, expected by November 15. This package might amount to an estimated 10 trillion pesos. Market reactions will largely depend on how these funds are distributed across various sectors. This allocation will provide insights into the direction of Mexico’s economy and influence the Mexican peso’s value against the dollar.
The slight weakening of the Mexican peso has surprisingly benefited national exporters and the Baja California manufacturing sector, notably in Tijuana and Mexicali, fostering job creation.
For importers, however, the costs have risen since the peso’s exchange rate is now above 19 pesos to the dollar, compared to a pre-2024 election rate of around 17 pesos per dollar. This situation has been somewhat mitigated by the U.S. Federal Reserve’s recent decision to cut interest rates by 50 basis points, easing economic pressure and providing relief to both American consumers and those reliant on importation in border areas.
**Secondary Update: Economic Insights and Developments**
Recent reports indicate that both Mexico and the U.S. might overcome a minor economic downturn by March next year. An expert in the field suggests that if current economic policies continue to stabilize without unexpected shifts, the exchange rate stability could persist beyond 2025.
Meanwhile, industry experts are urging the development of suitable conditions and public policies to address growing challenges, such as gentrification, which are affecting economic landscapes. Additionally, the real inflation rate is posited to be higher than the reported 5%, especially when taking into account the rising costs of basic goods.
Local initiatives in Baja California are underway to strengthen institutional support and public services, enhancing security measures in key industrial areas and broadening access to pensions for citizens aged 60 to 64.