Mexico's informal economy accounted for 25.2% of gross domestic product (GDP) in the first quarter of 2026, its highest share since the National Institute of Statistics and Geography (INEGI) began tracking the figure in 2005. The agency published the record on September 3 as part of its quarterly state-by-state series.

While national GDP expanded 0.2% year-on-year between January and March, the informal economy grew 2% over the same period, according to figures cited by El Universal. In nominal terms, informal activity generated approximately 5.9 trillion pesos in the quarter, the highest first-quarter total since 2005, according to El CEO. The International Labour Organization (ILO) defines these activities as unregulated and unprotected by the state, and notes that the phenomenon expands most sharply in contexts of high unemployment, underemployment, poverty, and precarious work. The scale of the reading matters because a growing share of the value the country produces is being generated outside the circuit where the state collects taxes.

The expansion spread across most of the country in the first quarter. Hidalgo recorded the fastest growth, at 8.4% in real terms; it was followed by the State of Mexico at 6.2% and Nuevo León at 5.7%. Banamex analysts cited by El Universal noted the broad-based uptick and pointed to Campeche, which posted five consecutive quarters of decline. Those analysts put the number of paid positions in the informal sector at 16.4 million, with the State of Mexico leading: 12.6% of the national total, around 2.1 million jobs. The category INEGI uses covers both self-employed workers in small unregistered businesses and salaried employees in jobs without legal or regulatory protection.

The figure feeds into the debate over the 2027 budget package, which the federal executive presents to Congress each September. The next quarterly INEGI release will show whether informality continues to outpace GDP growth.

This article was prepared with artificial intelligence assistance from verified sources and reviewed by a human editor before publication.