Overview of Credit Trends in 2025
The growth of commercial bank credit to the private sector deepened its deceleration in November, a trend observed throughout most of 2025. According to the Monetary Aggregates and Financial Activity report published by Banco de México (Banxico), the outstanding credit grew at a real annual rate of 3.2% in November, down from 4.3% in October. This pushed the total credit balance above 7.25 billion pesos.
Consistent Deceleration Across All Segments
This deceleration was evident in the three main credit segments: consumption, housing, and businesses. The slowdown was more pronounced in the business segment.
- Consumption: The credit to consumption grew by 8.0% in November, down from 8.9% in October. The balance surpassed 1.88 billion pesos.
- Housing: Credit for housing increased by 1.4% in November, compared to 1.7% in October. The balance exceeded 1.48 billion pesos.
- Businesses: Credit for businesses and individuals with commercial activities grew by 1.7% in November, lower than the 3.8% growth in October. The balance totaled over 3.73 billion pesos.
Reasons for the Slowdown
Industry players, such as BBVA, have attributed the slowdown in credit growth during 2025 primarily to a decrease in economic and formal employment growth.
However, the Association of Banks of Mexico (ABM) recently estimated that credit will continue to grow by the end of 2025. The ABM highlighted that credit to the private sector, as a percentage of GDP (38.8%), increased by two points in the last year.
The ABM forecasts a real GDP growth of 0.6% for the end of 2025, while credit growth is expected to be 4.3% in real annual comparison and 8.3% nominally.
Key Questions and Answers
- What is the main topic of this article? The article discusses the slowdown in commercial bank credit growth to the private sector, which reached 3.2% in November 2025.
- Which segments experienced the most significant deceleration? The business segment saw the most pronounced slowdown in credit growth.
- What factors contributed to the deceleration? The primary reasons for this trend are a decrease in economic growth and formal employment.
- What are the ABM’s expectations for credit growth by the end of 2025? The ABM anticipates that credit will continue to grow, with a real annual growth rate of 4.3% and a nominal growth rate of 8.3%.
