The Reduced Growth of the Mexican Economy, the Fight for Immigration Reform in the US and a Fiscal Reform Debate in Mexico

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English language press had to say…

This week, Reuters reported that the IMF predicts Mexico’s gross domestic product (GDP) will grow by 1.2 percent this year, down from a 2.9 percent expansion it forecast in July. This is due to low government spending, a drop in construction, and slack U.S. demand for local exports. Similarly, a Forbes op-ed stated that Mexico’s growth this year will be disappointing, as too many major policy decisions are likely to remain up in the air and as the benefits from the all-important energy reform still lie several years ahead. According to the article, Peña Nieto’s reform drive is welcome and long overdue but market expectations of near-term benefits for the economy are far too optimistic.

Continue reading “The Reduced Growth of the Mexican Economy, the Fight for Immigration Reform in the US and a Fiscal Reform Debate in Mexico”

Mexico’s “Radical Economic Transformation” due to Energy Reform, Rescued Kidnapping Victims, and Electoral Reform

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English language press had to say…

This week a Forbes article defined Mexico’s Energy Reform as a “radical transformation”: Not only will it be bigger than the revolution in shale drilling and fracking in the United States, it will be the most “significant change in Mexico’s economic policy in 100 years”. But the Reform will come at a high price for the ruling Institutional Revolutionary Party (PRI). According to the New York Times, Mexico’s conservative National Action Party (PAN) has signaled it is ready to compromise over demands for electoral reform that risk impeding a government bill to liberalize the oil industry.  The PAN proposed an electoral reform that seeks to curb the power of the PRI, which has dominated Mexican politics for most of the past century.

Continue reading “Mexico’s “Radical Economic Transformation” due to Energy Reform, Rescued Kidnapping Victims, and Electoral Reform”

“Mexico as a Land of Opportunity”: Changing Immigration Trends, Economic Recovery and Potential in Mexico, and Stalled Immigration Reform in the U.S.

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English language press had to say…

Two articles featured this week in the New York Times discussed Mexico’s increasing appeal to both returning migrants and to individuals migrating from South America and Europe.  An article published on September 23rd stated that the country’s documented foreign-born population “nearly doubled between 2000 and 2010”, and that “officials now say the pace is accelerating as broad changes in the global economy create new dynamics of migration.” This article received a widespread response, and in a subsequent article, the Times wrote that “many foreigners who have lived in the country for years stress that while they wish the world would focus more on Mexico’s strengths, they also wish the country would do more to tackle its flaws – especially corruption and a justice system that does little or nothing.”

Continue reading ““Mexico as a Land of Opportunity”: Changing Immigration Trends, Economic Recovery and Potential in Mexico, and Stalled Immigration Reform in the U.S.”

The Wreckage of Manuel and Ingrid, Biden’s Visit to Mexico and Continuing Debate on Energy Reform

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English language press had to say…

Hurricane Manuel and tropical storm Ingrid were the main Mexico-related stories featured in the press this week. The devastating storms caused floods and landslides on both sides of the country, killing more than 80 people. Isolated areas of Mexico are reporting major damages, and the storms have affected major highways and bridges. Thousands of tourists were stranded in Acapulco for part of the week, and Mexican officials said another 58 people were missing after a massive landslide in the mountains north of Acapulco. The Guardian reported that Manuel is taking a route that could see it make landfall on Mexico’s north-western coast. An article featured in Al Jazeera English stated that political recriminations are underway as the death toll, devastation and economic cost escalate. President Enrique Peña Nieto cancelled his trip to New York, where he was scheduled to attend the UN General Assembly, due to the storms. Continue reading “The Wreckage of Manuel and Ingrid, Biden’s Visit to Mexico and Continuing Debate on Energy Reform”

Tax overhaul, Immigration Reform in the US and Energy Reform in Mexico – Weekly News Summary: September 13, 2013

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English-language press had to say…

This week the press largely covered the tax overhaul presented by President Enrique Peña Nieto, which he declared will collect billions of dollars to finance new social programs. The revenue would pay for a new universal pension for all Mexicans over the age 65, a new unemployment insurance scheme, and increase spending on schools and infrastructure. The President sought to avoid the wrath of the Mexican left by leaving out a value-added sales tax on food and medicine. But critics on both the left and the right say the proposed Fiscal Reform piles too much of the tax burden on the middle class. The proposal would raise the top income tax rate from 30% to 32% for workers earning about $38,000 per year, and impose new taxes on a number of everyday expenses, including private school tuition, plane trips, gas and soft drinks.

Continue reading “Tax overhaul, Immigration Reform in the US and Energy Reform in Mexico – Weekly News Summary: September 13, 2013”

The Approval of the Education Reform, Teachers’ protests and NSA Spying of Enrique Peña Nieto – Weekly News Summary: September 6

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English-language press had to say…

This week the press largely covered the approval of the Education Reform in the midst of the teachers’ protests. Mexico’s Senate overwhelmingly passed a reform of the notoriously dysfunctional public school system early Wednesday, handing President Enrique Pena Nieto an important victory in his push to remake some of his country’s worst-run institutions.

The New York Times noted that despite being considered a major step toward instituting evaluations of public schoolteachers and ending their practice of buying and inheriting their posts, analysts allege violent protests by teachers had led Congress to include provisions in the new legislation that might undermine the overhaul. The pressure resulted in concessions that “diluted key aspects” of the original plan like the provision that mandatory evaluations would remain confidential.

Continue reading “The Approval of the Education Reform, Teachers’ protests and NSA Spying of Enrique Peña Nieto – Weekly News Summary: September 6”

Mexico City: the Teachers’ Protests and the Heaven’s case – Weekly News Summary: August 30

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English-language press had to say…

This week, teachers’ protests were one of the main topics on debate. Mexico City was (is) paralyzed by teachers who belong to the “Coordinadora Nacional de Trabajadores de la Educación” union. The main driver of the protests, as reported by The Washington Post, is the Government’s intention to overhaul the nation’s public schools by changing how teachers are hired, fired and evaluated.

As reported on our previous Weekly Summary, the teachers blocked the Nation’s Congress forcing lawmakers to work on the city’s outskirts. They destroyed several cars and blocked the main roads to the airport, causing thousands of passengers to miss their flights. This week the protests continued. They  forced Mexico City’s marathon to reroute, and as   pointed out by The Washington Post, hundreds of ski-mask-wearing, rock-throwing, teachers smashed windows and set fire to the offices of the major political party in Guerrero. Thousands more flooded Mexico City, blocking national TV networks, subway lines and swarming the roads around Los Pinos, the official residence of the President.

Continue reading “Mexico City: the Teachers’ Protests and the Heaven’s case – Weekly News Summary: August 30”

The PRD Reform Proposal, Mexican Economy and Teachers’ protest – Weekly News Summary: August 23

coffee-by-flikr-user-samrevel1The Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English-language press had to say…

This week, the debate on the Energy reform continued and the PRD presented its reform proposal. Last Monday the PRD presented its own energy reform proposal, which did not include constitutional changes or a greater role for private companies. The Proposal seeks to loosen the government’s stranglehold over revenues from Pemex, where approximately 70 percent of profits go to fund the federal budget. The main speaker during the presentation was Cuauhtémoc Cardenas who said Pemex should be more independent by removing Cabinet secretaries and the oil workers union from the Pemex board seats they now hold. In the same regard, this week in an interview with The Wall Street Journal, Pemex’s CEO Emilio Lozoya announced the plans to set up a new company to explore and produce shale gas and deep-water oil in the U.S. as part of an ambitious strategy to turn around years of falling production. “The geology is similar and we can benefit from numerous areas of collaboration with international oil companies”, Lozoya said to the newspaper.

Continue reading “The PRD Reform Proposal, Mexican Economy and Teachers’ protest – Weekly News Summary: August 23”

The Energy Reform Proposal is here… – Weekly News Summary: August 16

Coffee by Flikr user samrevelThe Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English-language press had to say…

This week, President Enrique Peña Nieto presented his energy reform proposal on Monday. The Mexican President is looking for constitutional changes to open Mexico’s oil and electricity industries to private investment for the first time in 75 years. Catalogued by The Financial Times as  the country’s biggest overhaul since the passage of the North American Free Trade Agreement in 1994, the president’s proposal would allow Pemex to form joint ventures with private companies to explore for and produce oil and gas. But companies entering into such “risk contracts” would be paid in cash rather than with a share of the oil, something that may prove unattractive to the major international oil companies as reported by The Global Post. For The Chicago Tribune, the energy overhaul is essential in the ambitious reform package that Peña Nieto hopes will foster economic growth: the best-case scenario could add between 1 and 2 percentage points to potential growth, economists say. Under The Wall Street Journal perspective, the initiative could fall short of what some oil companies hoped to see and what most oil-producing nations offer. Continue reading “The Energy Reform Proposal is here… – Weekly News Summary: August 16”

Energy Reform Proposal in Mexico…not until next week. – Weekly News Summary: August 9

Coffee by Flikr user samrevelThe Mexico Institute’s “Weekly News Summary,” released every Friday afternoon summarizes the week’s most prominent Mexico headlines published in the English-language press, as well as the most engaging opinion pieces by Mexican columnists.

What the English-language press had to say…

This week, energy reform was in the core of the debate.  President Enrique Peña Nieto was expected to present his energy reform proposal. However, that did not occur. Early this week, Los Angeles Times, referred to PEMEX as Mexico’s a crown jewel pointing out that as Peña Nieto moves ahead with a plan to overhaul the company, he is navigating the most perilous political minefield of his young presidency. At the same time, he is toying with taboos and challenging revered perceptions surrounding the nation’s top revenue earner. For The Financial Times, the clock is ticking and the countdown has begun for one of the most eagerly-awaited policy decisions that President Peña Nieto will make during his term. Continue reading “Energy Reform Proposal in Mexico…not until next week. – Weekly News Summary: August 9”