section_path: Economic impact by continent, region and country/North America/Mexico
section_name: Mexico
paragraph_text: Mexico
  
  The National Institute of Statistics and Geography (INEGI) said the unemployment rate in Mexico increased from 3.6% in January 2020 to 3.7% in February 2020. The informal sector increased to 56.3% in February compared to 56.0% in February 2019. Fewer than half of Mexicans have paid sick leave or health care. BBVA México predicted a 4.5% economic contraction in 2020, while analysts at Capital Economics in London argued that the government had to do more to support the economy. They forecast a 6% contraction in 2020. HR Ratings, Latin America's first credit rating agency, said that the performance of the economy would depend on the government's response to the COVID-19 crisis.
  
  The Mexican Stock Exchange fell to a record low on 10 March due to fears of the coronavirus and because of falling oil prices. The Bank of Mexico (Banxico) stepped in to prop up the value of the peso, which fell 14%. World markets are seeing falls similar to those of 1987.
  
  The Consejo Nacional Empresarial Turístico (National Tourism Business Council, CNET) sent two letters in March to Alfonso Romo, Chief of Staff to the President of Mexico, outlining the importance of tourism to the economy and asking for government support for the sector. Tourism provides 4 million jobs in Mexico, and 93% of the companies have ten or fewer employees. COVID-19 forced the closure of 4,000 hotels (52,400 rooms) and 2,000 restaurants, while the airline industry lost MXN $30 billion (US$1.3 billion) through March. The association of car dealers, ADMA, predicted a decrease in domestic sales between 16% and 25% in 2020.