The Mexican Institute of Financial Directors said Monday that the Mexican economy faces an "increased risk" of a severe economic contraction in the United States by the end of 2023 or early 2024.

Jessica Roldan, vice president of the institute, noted that the Mexican economy continued to show "a certain dynamism" during the first quarter of the year, but with differences between sectors.

It reported that uncertainty about the economic path has increased, as upside and downside risks have become more acute, especially with regard to the United States, which is Mexico's main trading partner.

"We see an increasing risk on the downside, which is a more severe or deeper contraction in the US economy, with its natural consequences for economic activity in Mexico," Roldan told a news conference.

"The probability of seeing a so-called 'hard landing' in the United States may be higher now than it was in the past months," said the expert, who is also chief economist at the brokerage firm "Finamex".

Advanced indicators of economic activity in various developed countries showed slight increases in the manufacturing sector and a general recovery in services, according to the Mexican Institute of Financial Directors.

However, the economic outlook remains subject to a high degree of uncertainty due to a variety of factors that can complicate the reading of the indicators.

The Mexican economy is currently expected to grow by 1.8 percent in 2023, according to the private institute.