Mexico's state debt hits 705 billion pesos as interest rates climb

Mexico’s combined state and municipal debt has climbed to 705.34 billion pesos by the end of March 2026. The figure marks a 1.3% rise from the previous year, driven by higher interest rates and increased spending on public works. Three regions—Mexico City, Nuevo León, and Jalisco—carry the largest financial burdens in the country. The total debt across Mexico’s states and cities now stands at 705.34 billion pesos. This represents a 1.3% increase from 2025, largely due to a 7.4% weighted rise in interest rates and expanded infrastructure projects. If divided equally among all residents, each person would owe 5,246 pesos, slightly up from 5,218 pesos last year.

Mexico City holds the highest debt at 105.72 billion pesos, an increase from 102.53 billion pesos in 2025. Nuevo León follows with 110.19 billion pesos, while its capital, Monterrey, adds another 1.48 billion pesos. Jalisco’s debt is 29.47 billion pesos, with Guadalajara contributing 1.23 billion pesos to the total. Both Nuevo León and Mexico City have launched major construction projects linked to the 2026 FIFA World Cup. However, Nuevo León’s financial situation is under scrutiny, marked in yellow on the Ministry of Finance’s early warning system.

The latest figures highlight growing financial pressure on Mexico’s most indebted regions. Rising interest rates and infrastructure costs have pushed the national debt upward, with each resident’s share increasing. Authorities continue to monitor the situation, particularly in Nuevo León, where debt levels have drawn official attention.