Private pension spending in Mexico has shown variability over the last decade. From 2013 to 2018, spending fluctuated with notable peaks and troughs: a high in 2019 at 0.55 and a low in 2017 at 0.36. The years following saw gradual growth, achieving 0.64 in 2023.
Recent years demonstrate more stable increases with a year-on-year rise of 9.4% in 2022 and 7.51% in 2023. The 5-year compound annual growth rate (CAGR) for this period stood at 7.1%. Looking forward, the forecast predicts continued growth, with private pension spending expected to reach 0.78 by 2028 and a forecasted 5-year CAGR of 3.12%.
Trends to watch for include:
- Economic and demographic shifts influencing retirement planning in Mexico.
- Policy changes impacting private pension regulations and incentives.
- Global financial market conditions affecting investment returns for pension funds.
- Increasing life expectancy necessitating longer-term pension solutions.
