Mexico is World’s Second Most Complex Business Hub: TMF

Mexico ranks as the second most complex jurisdiction for doing business among 81 countries, according to TMF Group’s Global Business Complexity Index 2026. The ranking indicates a rising level of difficulty over the past three years, with the country moving from fourth to second place, behind only Greece.

The report identifies frequent regulatory changes and unpredictable administrative requirements as key drivers of this complexity. TMF Group specifically highlights discretionary actions by tax authorities as a major obstacle. “Tasks such as opening bank accounts and dealing with tax authorities can generate uncertainty and delays, making it difficult for companies to plan with confidence,” the report states.

Additional friction points include repeated revisions to payroll outsourcing regulations, which have created ongoing confusion around compliance obligations and potential penalties. While businesses are increasingly adopting automation and OECD-aligned practices to improve operational management, the report warns that anticipated updates to electronic accounting regulations will require multinational companies to remain vigilant.

Investment Plan Aims to Improve Legal Certainty

To address structural bottlenecks and stimulate growth, the federal government launched the 2026–2030 Infrastructure Investment Plan in February 2026. The initiative projects a total investment of MX$5.6 trillion (US$324.8 billion) over the next four years. For the 2026 fiscal year alone, the plan includes MX$722 billion (US$41.88 billion) in additional funding, on top of MX$900 billion (US$52.2 billion) already allocated to energy, railways, ports and social infrastructure.

President Claudia Sheinbaum stated that the plan relies on mixed public and private financing under “clear, equitable and legally supported frameworks.” A central component of the strategy is an updated legal framework designed to strengthen the foundation for blended investment models.

The government plans to introduce new legislation to formalize mixed-investment contracts and incorporate unsolicited project proposals from private-sector participants. The proposed framework aims to provide long-term legal certainty and stable governance rules to attract financing from both development institutions and commercial banks.

The plan is structured around four pillars intended to streamline execution and enhance accountability:

• Strategic Investment Planning Council: A presidency-led body tasked with prioritizing projects, monitoring financial milestones and addressing funding gaps.
• New Investment Vehicles: Risk-sharing mechanisms between public and private stakeholders, already being applied in projects such as the Guadalajara–Puerto Vallarta highway corridor.
• Updated Legal Framework: Legislation designed to ensure the federal government retains majority control in joint ventures while establishing clear operational standards.
• National Infrastructure Database: A centralized transparency platform that will allow investors and citizens to monitor project performance and implementation progress.

Finance Minister Edgar Amador emphasized that while public investment remains a key engine of development, the broader objective is to align economic growth with social welfare. “It is not enough to expand macroeconomic indicators. Growth must also promote justice and broader well-being,” Amador said.