Carlos Hank Rhon

Highlights…
Interactions GF National Situation
Analysts prenden yellow hotbeds for inflation
Support IEDF consultation oil Ebrard
Food crisis would create global chaos: UN
 
Financial Sector
Weak consumer credit: Banxico. According to the dependence of their portfolios directly to the consumer, last March, submitted a contraction of 4.7% in April and deepened to 7%.
During this period, loans for consumption amounted to 382 thousand 800 million pesos, when in the same period of 2007, reached 393 thousand 500 million pesos.
Enrique Castillo Sanchez Mejorada, president of the Association of Banks of Mexico, acknowledged that there is a slowdown in demand for consumer loans, particularly credit card. (El Universal, 1-B)

Discard Banxico alter the methodology of the CAT. Faced with the obligation of this month from financial institutions and commercial companies to publish in their account statements, contracts of adhesion and publicity, the Central Bank felt that the methodology used to calculate the CAT is sufficiently known to all those involved and therefore would be unaffected. Gerardo Jose Quijano, director general of the Financial System Analysis of the Bank of Mexico, explained that the main elements to measure the CAT are the interest rate and commission by annuity. (El Financiero, 5)

Beware of cards not ordered. The CONDUSEF warning users who receive unsolicited credit cards, yet they must not be activated there are ways to make withdrawals and purchases with it without the users know. After a time, banks that issued are responsible for alerting customers of the amount of its arrears by the cards they were shipped, which far exceed the user's ability to pay. For this reason, the unit recommended that any card that comes to your home, which is not requested, must be canceled before the relevant bank to avoid problems.

(Reform, 3-AN)

Fight strategies between banks by the credit market. The current diversity in the market for financial products is increasing thanks to the entry of 15 new players of various shapes and sizes who struggle constantly to cover the niche of credit. According to the CNBV and the Ministry of Finance, the new players have 22% of the total provision and care for 13.5% of users of savings accounts. These are VW Bank Mexico, FAMS Savings Bank and sofoles and sofomes already known, who compete in front of those already familiar with Banamex, Bancomer, Scotiabank and HSBC, among others. (Milenio Diario, 18)

Cae 2.4% of income remittances from January to April, arrived 7 thousand 336 million dollars. The Central Bank reported that remittances sent to Mexico immigrants living abroad, mainly in the U.S., fell 2.37% in the first four months of 2008. According to figures from Banxico, the amount of income of migrants from January to April was seven thousand 336 million dollars. Remittances are the second largest source of foreign exchange for Mexico after oil exports and compete side by side with foreign direct investment coming into Mexico. (La Jornada, 23)

Shipments grew 34%: L @ Network. Authorities of Bansefi reported that this growth in remittances was due to L @ Red de la Gente offers financial services in addition to proximity to where the population is a serious player. Banxico's data show that remittances so far this year amounts to 7 thousand 336 million dollars. (El Financiero, 6)

Pronafide, with online banking. The chairman of the ABM, Enrique Castillo Sanchez Mejorada, commented that the Pronafide, driven a few days ago by President Felipe Calderón, forcing banks to encourage savings, investment and accelerate the credit to all sectors of the population. To tell the official, the goal of six years in this field is that the financial savings increased from 51.9 to 64.8%, while domestic financing to the private sector grow from 23.3 to 39.6% (The Economist, 17)

More credit to SMEs. The association of Banks of Mexico reported that these loans showed an improvement of 27% so far in 2008, while lending to companies grew 30%.
With regard to loans to agriculture during the past 12 months, they increased 11% totaling 64.5 million pesos.
The association of Banks of Mexico elaborated that such loans are related to agricultural cycles. (El Universal, 4-B)

Warns the CNBV risks in the payment of mortgages. The agency estimated that before the increase in food prices, the low-income families will choose to invest in buying them and set aside to pay their mortgages. Therefore, invited financial institutions to revise the power of paying customers and create methods to facilitate the payment of arrears. (Daily Monitor, 1-B)

Mortgage rates remain stable. Jose Manuel Rivero, president of the association Hipotecaria Mexicana, said that because of competition that exists in the housing market is not presented increases in the interest rate on mortgage loans. The body, composed of Infonavit, banks and other intermediaries sofol seeks to improve the conditions for access to credit. The manager said that although not expected increases in revenues, in certain niche markets housing prices rebounded as a result of the increase in inputs. (Milenio Diario, 19)