MEXICO CITY (Reuters – Mexico’s economic growth between January 2017 and March is expected to be the fastest in three quarters. The increase was due to domestic consumption and a recovery in exports. A Reuters poll on Monday showed this.

According to 12 polled analysts, the gross domestic product (GDP), is forecast to grow 1.1% from the prior three months in seasonally adjusted terms.

Economy shrank by 0.7% last quarter, and posted no growth during the fourth quarter.

Grupo Financiero banorte stated in a report that “although there were some difficulties, mostly related to the infections of the Coronavirus variant in January as well as pressures on prices, the overall trend for activity seemed to have been positive.”

Analysts added that a rise in performance for the export-oriented manufacturing and service sectors, could offset an increase in agricultural activities, which would boost growth.

According to the poll, Latin America’s second-largest economy grew by 1.7% in its first quarter. This was compared with a year ago in terms of non-seasonally adjusted. This compares with 1.1% growth in the fourth quarter of last year.

Citibanamex reported to its clients that they expect slow activity growth in the remainder of 2022 due partly to the impact of conflict between Russia and Ukraine.

Mexico’s national statistic agency INEGI will publish its Q1 preliminary GDP estimates on Friday.