Regions and Cities at a Glance 2018 – MEXICO http://www.oecd.

org/regional

Economic trends in regions

Regional gap in GDP per capita, 2003-16 Index of regional disparity in GDP per capita, 2016
GDP per capita in USD PPP Top 20 % richest over bottom 20% poorest regions 2016 2000
140 000 Highest region Ratio 4
Small regions Large regions
Campeche (TL3) (TL2)
12 0 00 0
48 980 USD
100 000 3
Second highest region
80 000
Mex ico City 39 860 USD
60 000 2
Mex ico
40 000 16 969 USD
20 000
1
0
Low est region
2003 2010 2016 Chiapas 6 636 USD

Country (number of regions considered)

Mexico has high regional disparities. GDP per capita in Mexico City – the country’s second richest region after Campeche, where
natural resources significantly contribute to the economy – was more than five times higher than in Chiapas in 2016. Even when
resource rich regions such as Campeche or Tabasco are excluded, regional economic disparities in Mexico remain larger than in
any other OECD country. However, regional disparities in terms of GDP per capita have slightly decreased in Mexico over the
last sixteen years, when the richest and poorest 20% of regions are taken into account.
With a productivity growth of 4.4% per year over the period 2010-16, Aguascalientes had the highest productivity growth and
strongly converged towards the productivity level of Mexico City, the national frontier in terms of labour productivity (excluding
Campeche). Tlaxcala recorded the lowest productivity growth of the country with -1% per year between 2010 and 2016 (excluding
Campeche and Tabasco due to fluctuation of natural resource prices).
Mexico City has the highest youth unemployment rate (13.1% in 2017) in the country, almost ten percentage points above the
youth unemployment rate in Guerrero.
Productivity trends, most and least dynamic regions, 2010-16 Youth unemployment rate, 15-24 years old, 2005-15
GDP per worker in USD PPP rate (%)
Mex ico City : highest 25
90 000 Highest rate
productiv ity in 2016
80 000
(1.9% av erage annual 20
Mexico City
70 000 grow th ov er 2010-16) OECD 13.1%
60 000 15
Aguascalientes: 2nd
50 000
highest productiv ity
40 000 10 Mexico
grow th (+4.4% annually ) 8%
30 000
Tlax cala: low est 5 Lowest rate
20 000
productiv ity grow th (-1% Guerrero
10 000 0
annually ) 3.4%
2010 2013 2016 2005 2010 2015
Source: OECD Regional Database.
Notes: (1) Figure on regional gap in GDP per capita: OECD regions refer to the administrative tier of subnational government (large regions, Territorial Level 2);
Mexico is composed of 32 large regions. (2) Figure on index of regional disparity: top (bottom) 20% regions are defined as those with the highest (lowest) GDP per
capita until the equivalent of 20% of national population is reached, this indicator provides a harmonised measure to rank OECD countries, using data for small
regions (Territorial Level 3) when available. (3) Productivity is measured as GDP per employee at place of work in constant prices, constant Purchasing Power
Parities (reference year 2010).

Updated the 5th of March 2019

 Differences in well-being across regions
Top region Bottom region Mexico City States

Quintana Tamaulipas
top 20%

Quintana
Roo
Roo
Ranking of OECD regions (1 to 402)

Yucatan
middle 60%

Yucatan
Baja California
Sur

Yucatan Mexico City

Guerrero Chihuahua Nuevo Leon Mexico City

bottom 20%

Tabasco
San Luis Baja
Potosi Mexico City California Chiapas Sinaloa Oaxaca Chiapas Chiapas Chiapas

Community Environment Life Civic Jobs Access to Safety Education Housing Health Income
Satisfaction Engagement services

Relative ranking of the regions with the best and worst outcomes in the 11 well-being dimensions, with respect to all 402 OECD regions. The eleven dimensions
are ordered by decreasing regional disparities in the country. Each well-being dimension is measured by the indicators in the table below.

The largest disparities in well-being between Mexican states are found in the areas of environment and community, with Quintana
Roo ranking in the top 10% of OECD regions and San Luis Potosi and Mexico City each ranking in the bottom 10% of OECD regions
in both dimensions. Wide regional disparities also exist in life satisfaction, civic engagement and jobs.
The high performing Mexican states fare better than the OECD median region in air quality, life satisfaction, unemployment rate,
but fare worse in the ten other well-being indicators. The gap between Mexican states and the OECD average is largest for the
indicators homicide rate, disposable income per capita, access to broadband connection and share of labour force with at least a
secondary degree.

Country OECD median Mexican regions

Average region Top 20% Bottom 20%
Com m unity
Perceived social netw ork support (%), 2013 81.1 91.4 89.2 66.7
Environm ent
Level of air pollution in PM 2.5 (µg/m³), 2015 15.1 12.4 7.8 22.5
Life Satisfaction
Life satisfaction (scale from 0 to 10), 2013 7.0 6.8 7.9 6.5
Civic engagem ent
Voters in last national election (%), 2017 or lastest year 47.7 70.9 58.5 37.2
Jobs
Employment rate 15 to 64 years old (%), 2017 60.7 67.7 64.8 55.2
Unemployment rate 15 to 64 years old (%), 2017 4.1 5.5 2.4 5.7
Access to services
Households w ith broadband access (%), 2017 46.8 78.0 67.6 24.2
Safety
Homicide Rate (per 100 000 people), 2016 19.6 1.3 6.5 40.4
Education
Labour force w ith at least upper secondary education (%), 2017 45.5 81.7 56.0 35.2
Housing
Rooms per person, 2016 1.0 1.8 1.1 0.8
Health
Life Expectancy at birth (years), 2016 75.2 80.4 76.1 73.5
Age adjusted mortality rate (per 1 000 people), 2016 10.0 8.1 9.3 10.9
Incom e
Disposable income per capita (in USD PPP), 2016 3 415 17 695 5 098 2 207

Source: OECD Regional Database. Visualisation: https://www.oecdregionalwellbeing.org.

Notes: (1) OECD regions refer to the first administrative tier of subnational government (large regions, Territorial Level 2); Mexico States is composed of 32 large
regions. (2) Household income per capita data are based on USD constant PPP, constant prices (year 2010).

Updated the 5th of March 2019

 Metropolitan areas in the national economy
OECD population is concentrated in cities*
Percentage of population in cities, 2016
Mexico
United States
OECD average
people
outside cities people
outside cities
33% people in cities
121 million 30% 1.2 billion
with population
people - 67% people - 70% 55%
above 500 000
people in cities with live in cities
population between
live in cities 56% people in cities with
people in cities 6%
50 000 and 250 000 4% with population population between
7% above 500 000 50 000 and 250 000 9%
people in cities with
people in cities with population
population between
between 250 000 and 500 000
250 000 and 500 000
Source: OECD Metropolitan Database. Number of cities: 92 in Mexico and 1 138 in the OECD.

In Mexico, 67% of the population lives in cities of more than 50 000 inhabitants. The share of population in cities with more
than 500 000 people is 56%, in line with the OECD average (55%).

Importance of metropolitan areas Contribution of metropolitan areas to GDP growth

Cities above 500 000 people, 2016 Cities above 500 000 people, 2000-16

% Mexico OECD average Mexico OECD average

%
80 80
70 63% 63% 68%
56% 58% 56% 55% 70 64%
60 60

327 metropolitan
50 50
40 40
Mexico City

areas
30 30
20 20
10 10
0 0
% of national % of national % of national 1
All metropolitan areas Largest contributor
2
GDP employment population

The metropolitan areas in Mexico account for 63% of national GDP. Between 2000 and 2016, the Mexican metropolitan areas
generated 64% of national GDP growth, in line with their weight in the national economy.
In 2016, Monterrey was the only Mexican metropolitan area with a GDP per capita above the lowest 20% of OECD metropolitan
areas.
When considering air pollution in terms of levels of PM 2.5, the metropolitan areas of Toluca (State of Mexico) is the least
polluted metropolitan areas in Mexico, and is the only Mexican metropolitan area which is not in the 20% most polluted OECD
metropolitan areas.

OECD Metropolitan areas ranking

Cities above 500 000 people
USD PPP
100 000
80 000
60 000
GDP per capita, 40 000
2016 20 000
0
Top 20% richest Bottom 20% poorest
metropolitan areas metropolitan areas

Lev el of air pollution in PM 2.5 (µg/m³)

30

Air pollution 20

(PM2.5), 2017 10
0
Top 20% least polluted Bottom 20% most polluted
metropolitan areas metropolitan areas

Source: OECD Metropolitan Database. Number of metropolitan areas with a population of over 500 000: 38 in Mexico compared to 327 in the OECD.
* Note: Cities are defined here as functional urban areas, which are composed by high-density urban centres of at least 50 000 people and their areas of influence (commuting
zone). For more information, see: http://www.oecd.org/cfe/regional-policy/functionalurbanareasbycountry.htm.

Updated the 5th of March 2019

 Subnational government finance

Subnational government expenditure amounts to USD 2 243 per capita in Mexico compared to an OECD average of USD 6 817.
In Mexico, this is equivalent to 51.9% of total public expenditure and to 12.7% of GDP. In comparison, across the OECD,
subnational government expenditure accounts for 40.4% of total public expenditure and for 16.2% of GDP.
In Mexico, subnational governments carried out 78.9% of total public investment, compared to an OECD average of 56.9%.

Role of subnational governments in public investment

Subnational government public investment per capita, 2016

USD per capita

Mexico OECD average
1 400

1 200
Total public investment
1 000 USD 1 278 per capita
Total public investment 3.0% of GDP
800 USD 312 per capita
600
1.8% of GDP
Subnational government
400 Subnational government investment
investment USD 727 per capita
200 USD 246 per capita 56.9% of public invest.
0
78.9% of public invest.

Source: OECD Subnational Government Structure and Finance Database.

OECD Regions and Cities at a Glance 2018

The 2018 edition of OECD Regions and Cities at a Glance shows how regions and cities contribute to national
growth and the well-being of societies. It updates its regular set of region-by-region indicators, examining a
wide range of policies and trends and identifying those regions that are outperforming or lagging behind in
their country.
Consult this publication on line: https://oe.cd/pub/2n9

Updated the 5th of March 2019