At the Annual Summit on Indices & ETFs in Mexico 2024 organized by the BMV, the importance of Mexico implementing strategies to attract foreign direct investment was discussed. It is essential for the country to improve its infrastructure, political stability, security, and institutional framework. Experts mentioned that Mexican nearshoring should follow similar policies to those of the United States to avoid economic and tariff conflicts.
During 2023, nearshoring may have contributed between 0.3% and 0.4% of Mexico's Gross Domestic Product (GDP) according to the British investment bank Barclays. However, challenges still exist such as infrastructure deficits, technology, and a water crisis in the north. Despite announcements of foreign investment worth 36 billion dollars in 2024, most of these investments were already in the country.
Nearshoring, which involves outsourcing services to geographically close countries with similar time zones, is an opportunity for Mexico. However, the country needs to adequately capitalize on this opportunity to attract investments and companies with advanced technology that generate jobs.
Although Mexico remains an attractive destination, the lack of English language proficiency stands out as a disadvantage compared to other countries in the region. It is necessary to have a skilled workforce with a good command of English to fully leverage the opportunities that nearshoring can provide in terms of restructuring the national industry and adding more value to products.
