The number of commercial bank branches in Mexico has been steadily declining from 2013 to 2023, decreasing from 14.83 units per hundred thousand adults in 2013 to 11.34 units in 2023. The year-on-year variations show a consistent drop, particularly significant in 2019 and 2020, with reductions of 6.85% and 6.33% respectively. The compound annual growth rate (CAGR) over the last five years shows an average decline of 3.93% per year.
Looking forward to the forecast period from 2024 to 2028, the number of branches is expected to keep declining, reaching 10.38 units per hundred thousand adults in 2028. The CAGR for this forecast period is projected at -1.3% annually, indicating a persisting downtrend but at a slower pace compared to the previous five years.
Future trends to watch for:
- Continued consolidation in the banking sector, which might lead to fewer physical branch locations.
- Increasing digital banking adoption potentially reducing the need for physical branches.
- Impact of fintech companies and evolving consumer behaviors towards banking solutions.
