Retail banks might return to the Mexican market of residential mortgage-backed securities, according to a forecast report by Standard & Poor’s.
The country has not seen a bank issue an RMBS since 2009. “We expect that at least one retail bank could return to the market, paving the way for further issuances,” the agency said.
Last year, yet again, Mexican RMBS was monopolized by state agencies Fovissste and Infonavit, which issued about Ps30.1 billion ($2.4 billion). This represented about a quarter of all structured finance issuance in the country during 2012.
Despite the possible comeback of bank RMBS, S&P expects the state agencies to remain the prime drivers of RMBS, as they will need to tap the markets to meet their 2013 origination goals of 75,000 loans for Fovissste and 545,000 loans for Infonavit.