The decline in government investment, which involves cutting the public deficit, is a concern for the country's industrialists. In this regard, they propose resorting to public-private partnership (PPP) investment mechanisms as the only viable way to implement the necessary infrastructure projects to boost the industry and improve well-being through employment. This was stated by Alejandro Malagón Barragán, president of the Confederation of Industrial Chambers of Mexico (Concamin).
"Recognizing the budget rigidities, we are concerned that the announced reduction of the public deficit means a decrease in public investment in strategic infrastructure," Barragán expressed. In this sense, he proposed implementing transparent and efficient public-private investment mechanisms, as well as innovative financial schemes to carry out the necessary works.
During the Annual Industrial Meeting, Barragán highlighted the importance of investing in road projects, railways, ports, airports, telecommunications, energy infrastructure, education, health, urban mobility, and social housing. He emphasized that both the government and the private sector must increase the level of investment in relation to GDP to address infrastructure needs.
On the other hand, Juan Cortina Gallardo, president of the National Agricultural Council, mentioned that an exchange rate above 20 units per dollar does not worry the industry, but rather balances competition in the domestic market with imports and benefits the value of exports.
Regarding industrial policy and the USMCA, Julie Poirier, trade policy advisor at the Canadian Embassy in Mexico, emphasized the importance of linking industrial policy with the treaty to achieve benefits in the region. For his part, Johannes Dobinger, representative of the UN Industrial Development Organization, highlighted the organization of the private sector in Mexico as an advantage for the review of the trade agreement, suggesting the integration of industrial policies and prospective analyses.
