Mexico Cuts AFAC Budget by 8.5% to MX$634 Million for 2025
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Mexico Cuts AFAC Budget by 8.5% to MX$634 Million for 2025

Photo by:   Shaun Darwood, Unsplash
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Óscar Goytia By Óscar Goytia | Journalist & Industry Analyst - Tue, 11/19/2024 - 17:18

The Mexican government has proposed an 8.5% reduction in the 2025 budget for the Federal Civil Aviation Agency (AFAC), allocating only MX$634 million (US$31.5 million) compared to this year’s MX$712 million. This cut, totaling over MX$59 million, contrasts sharply with the MX$2 billion that the industry estimates are necessary to meet national verification and oversight requirements, and the US$4 billion needed to comply with international aviation standards.

The AFAC has struggled with limited resources for years, as highlighted in its previous sexennial activity report. The report acknowledged that planned inspections and oversight operations were not completed due to budget and staffing constraints. Currently, the agency faces a workforce deficit of approximately 4,000 employees. Training and updating existing personnel have also been hindered by a lack of funds, further complicating efforts to maintain aviation safety standards.

During the period of Mexico’s downgrade to Category 2 by the US Federal Aviation Administration (FAA), additional funds were provided to address deficiencies. However, following the recovery of Category 1 status in September 2023, funding levels returned to insufficient levels. This has had a tangible impact on the agency’s operations: in the last two years, AFAC completed only 24 out of 106 planned safety verifications. Additionally, 24 verifications were outright canceled, while 20 were indefinitely postponed. Over 50% of the non-conformities identified by the FAA during the downgrade were related to shortcomings in personnel and budget resources.

The reduction in AFAC’s funding comes despite an overall 72% increase in the proposed budget for the Ministry of Infrastructure, Communications, and Transport (SICT), which oversees the aviation authority. The SICT’s proposed 2025 budget of US$140.8 billion prioritizes railway projects, leaving aviation projects underfunded.

Meanwhile, the Ministry of National Defense (SEDENA), which manages key aviation infrastructure projects, also faces significant budget cuts for 2025. The Felipe Ángeles International Airport (AIFA) is set to receive MX$924.6 million, a 38.3% reduction from the MX$1.5 billion allocated this year. Additionally, SEDENA’s overall proposed budget of MX$152 billion reflects a 43.8% decrease from the previous year’s funding.

The proposed budget is currently under review by Mexico’s Chamber of Deputies, which has until Dec. 31 to approve it. 

Photo by:   Shaun Darwood, Unsplash

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