BBVA CEO Onur Genç said Wednesday that the lender was not worried about the results of Mexico's presidential election, as Claudia Sheinbaum's victory meant "continuity."

The landslide victory of Sheinbaum, who became Mexico's first female president, had markets nervous this week about the possibility of the ruling coalition gaining a supermajority in Congress, which would allow it to pass controversial constitutional reforms.

The Financial Times reported last month that Mexico is considering options to squeeze its banks for more tax revenue, including imposing an extraordinary tax on profits, which would require a change in the law.

BBVA shares have fallen about 5% since May 31, the last trading day before the Mexican elections.

"There is a new president, but the same government formation or the same government infrastructure, so in that sense it is continuity," Genç said at a forum organized by Goldman Sachs in Madrid.

Net profit in Mexico, BBVA's largest market, rose 12.6% year-on-year in the first quarter, while its net interest income (NII) rose 15.8%.

BBVA, which has filed a hostile takeover bid for smaller Spanish rival Sabadell, has maintained its forecast for single-digit net income growth for Mexico in 2024.

"In the short term, our expectation is that the central bank will now be a bit more 'hawkish,' although it already is, but it could be even more so, because if there is a devaluation of the Mexican peso, there could be an even more aggressive bias, which normally helps us," Genc said.

Central banks are considered 'hawkish' when they favor raising interest rates or keeping them high to counter inflation.

(Reporting by Jesús Aguado and Emma Pinedo; editing by Huw Jones and Alexander Smith; Spanish editing by Tomás Cobos and Javi West Larrañaga)