A victory for Claudia Sheinbaum in Mexico’s election on Sunday is likely to see a continuation of Amlo’s generous social policies – which will also make Banxico’s fight against inflation harder. The main points of contrast with Amlo are that she will face much greater scrutiny over the health of the public finances and is likely to be less supportive of the oil sector. That said, the fate of Mexico’s economy also hinges on the outcome of the US election later this year, with current free trade arrangements at risk.
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