During the last eight years, the contribution of oil revenues to public finances in Mexico has experienced a constant decrease. Despite the plans and good intentions of the new administration, it seems evident that without regaining partnerships with the private initiative, it will be difficult to return to the glory days of the oil industry in the country.
Petróleos Mexicanos (Pemex), under the direction of Víctor Rodríguez, has shown a decline in recent years that concerns investors. Despite having the support of the federal government, the importance of oil revenues in public finances has notably decreased, particularly affecting entities such as Campeche, Tabasco, Tamaulipas, and Veracruz.
The Center for Economic and Budgetary Research (CIEP) has recommended that states seek other sources of revenue in light of this situation. One alternative could be to strengthen the collection of green taxes. Furthermore, the resources from the Hydrocarbons Extraction Fund have significantly decreased across all entities.
In this context, Tamaulipas and Veracruz have managed to increase their revenues thanks to an increase in the Municipal Promotion Fund, which depends on local collection. These cases could serve as examples to follow to mitigate the effects of the reduction of oil revenues in other entities.
On the other hand, the North American Development Bank (NADBank) and PLUS Corp have signed a credit contract to finance green projects for micro, small, and medium enterprises in metropolitan areas near the US border. This focus on green financing is a trend that more and more entities are adopting.
Regarding justice, the Supreme Court of Justice of the Nation is reviewing a case of abuse of authority in which the proportionality of the penalties imposed on a commander from the State of Mexico is discussed. This review could set a precedent in similar cases and reinforce integrity in public administration.
Finally, it is worth mentioning that despite the financial challenges, the support of companies like Mercado Libre and possible collaborations in events such as the Mexican Formula 1 Grand Prix reflect an evolving business landscape and opportunities in the country.
