Mexico, US Progress on Joint Work Plan

Mexico and the US continue to work together to further develop Mexico’s southern states and the Central American region, as both countries pact a work plan for 2022 after the high-level economic dialogues held in September 2021.

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Mexico, US Work Plan Presented

The Ministry of Finance and Public Credit (SHCP) announced that both countries structured a four-pillar agreement during a meeting in Washington D.C. focused on strengthening value chains, facilitating trade, economic development and to promote training programs in priority sectors. SHCP reported that more than 10 projects are already underway with focuses on rebuilding, economic and social growth and sustainable development in Southern Mexico and Central America.

Mexico Evolves and Adapts for Fintech

Alejandro Masseroni, General Manager at Mambu Mexico explained the importance of the Mexican market regarding fintech development. “We began noticing a pattern among the emerging economies in this region, not just in Mexico but also in Brazil, Argentina and Chile, wherein significant blocks of their populations did not have contact with traditional financial institutions. This represented enormous growth potential for the credit sector.” Masseroni also added that the evolution of regulatory frameworks in Mexico has helped with the expansion of fintech.

Severe Disagreements Regarding Mexico’s Nationalization of Lithium

“What is being proposed is an aberration. The mineral belongs to the Mexican nation; you cannot nationalize what is already nationalized in some way. Creating a parastatal dedicated to lithium for the state’s exclusive benefit is akin to the creation of a new PEMEX or a new CFE, where the parastatal does not have the capacity for investment or development, the technology or the certainty of existence of reserves,” said Alberto Vazquez, Partner, VHG Servicios Legales, regarding the current administration’s plans.

Blockchain Boosts Metaverse

NFTs and DAOs, different blockchain applications, have given the metaverse a vital propulsion toward becoming a global trend. These technologies allow the metaverse to develop a fully digital economy, allowing users to monetize and buy land, art, real-world tokenized assets and more. This new system can create or lose digital wealth for people, as Monica Martinez, CIO, Vector Casa de Bolsa, explained to MBN.

Mexico City Pushes Toward Better Public Transport

The city is beginning to recover its pre-pandemic traffic numbers, forcing the city’s administration to heavily invest in public transportation. Mexico City’s Ministry of Administration and Finance (SAF) announced that Congress approved a MX$4.5 billion (US$214 million) infrastructure budget for key infrastructure works to benefit the city’s population. SAF also reported that the city’s finances and economy have shown significant recovery after a successful vaccination campaign.