Alfredo Calvo, managing director and sector lead for financial institutions ratings at S&P Global Ratings: “We believe Mexican banks are well positioned to navigate the upcoming government transition given their solid credit fundamentals. However, while we expect banks to remain healthy, the slowing economy and persistently high interest rates will pressure their growth, asset quality and profitability. We expect broad policy continuity—fiscal, monetary and trade—under the next government. However, potential measures that weaken checks and balances—including the judiciary and monetary authority—could weaken the business climate. This could hurt economic dynamics and credit growth. Despite high interest rates, banks have increased credit through conservative lending policies. This is reflected in moderate credit growth rates, healthy asset quality and solid profitability. In addition…”