Grupo Fin Banorte Ord (GBOOF) Q2 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

Recording in progress. Thank you. Marcos, please go ahead. Thank you, Tomás. Good morning, everyone. Thank you for joining us today. The second quarter of the year showed a sound evolution despite the volatility brought in by Mexico's electoral period. In early June, Mexico held its largest ever election, including state, municipal, and congress positions, with value achieved the next president, set to take office on October the 1st. The ruling party secured the qualified majority in the lower house, which was perceived by the market as uncertainty regarding the government's checkers and balances. However, this concern has somewhat been the importance of microeconomic stability, fiscal discipline, rule of law, and independence of the central bank during the current upcoming administration. The new government has also expressed support for an economic model involving more public-private associations to drive key infrastructure projects for the country and has also acknowledged the importance of new sharing opportunities for Mexico. The cabinet appointments so far seem to support this expectation for the next administration. I would like to highlight that over time, Banorte has had respectful relationships with many different government administrations, and we are confident this will continue to be the case as we execute on our strategic plan. For 2024, we expect the Mexican economy to continue to be resilient despite the local and global volatility. Domestic demand will continue to be the main driver of growth due to private consumption and investment, driven in part by news showing. Considering the uncertainty regarding the government transition period and the U.S. election at the end of the year, we have adjusted our GDP growth expectation to 1.9%, slightly lower th...