Federal Budget Proposal 2025 in Mexico

The budget proposal for 2025 suggests cuts in government programmable spending, affecting various ministries, including the Ministry of Economy, with a reduction of 9.1%.


Federal Budget Proposal 2025 in Mexico

The draft budget for expenditures for 2025 proposes cutting the programmable spending of the public sector budget for almost all government agencies, with the exception of Sader, Welfare, and Infrastructure, Communications, and Transport. A real increase in programmable spending for Sader is proposed of 183.3% to 38,048 million pesos; for Welfare, an increase of 2.3% to 579,883.9 million pesos; and for Infrastructure, Communications, and Transport, an increase of 57.6% to 140,799 million pesos.

The ministry that suffered the most in percentage terms was National Defense, with a budget cut of 43.8%, followed by Environment and Natural Resources with a reduction of 39.4% to 44,370.5 million pesos. For Security and Citizen Protection, a budget reduction of 36.2% is proposed, leaving it at 70,422.2 million pesos.

If the Budget for Expenditures is approved as it is, the Ministry of Health would suffer a cut of 34.0% to 66,693.2 million pesos. The Ministry of Culture would see a budget decrease of 30.8% to 12,081.5 million pesos, while Energy would have a reduction of 20.9% to 138,307.4 million pesos.

Treasury would suffer a contraction in its resources of 13.2% to 25,626.3 million pesos, and Economy a cut of 12.9% to 3,597.9 million pesos. Meanwhile, the Ministry of Tourism will face a lower budget of 1,774.9 million pesos, a real drop of 13.7%. The Ministry of the Navy would experience a reduction of 12.1% to 65,888.7 million pesos, Public Function would have an amount 0.4% lower, and Labor and Social Welfare would have an amount of 27,830.2 million pesos, 6.7% less.

It is proposed to allocate less budget to Public Education, with 450,887.9 million pesos, 1.5% less than the previous year. In contrast, the INE would be allocated 40,476.1 million pesos, a real increase of 18.5%. The Legislative Power would have an increase of 3.4% to 18,069.6 million pesos, while the Judicial Power would have an amount of 85,025.8 million, an increase of 4.1%.

The Ministry of Finance and Public Credit (SHCP) presented the Economic Package 2025, which proposes a budget cut to the Ministry of Economy of more than 300 million pesos compared to 2024. This cut will affect essential programs such as support for micro, small, and medium enterprises, which will face a reduction of more than 70%, assigning only 76 million pesos.

In addition to this reduction, other strategic areas will face limitations: the free trade and foreign investment attraction sector will fall by 7%, with a budget of 237 million pesos; the business development and competitiveness policy will decrease by 7%, leaving it at 326 million pesos; regulatory improvement will see a reduction of more than 8%, with a budget of 59 million pesos, and the mining, manufacturing, and construction sector will have a slight decrease from 183 million pesos to 176 million pesos.