Tag Archives: CIEP

Mexican Government Prioritizes Subsidies over Investments

Posted on by Leave a comment

By MARK LORENZANA The Mexican federal government has continued its trend of prioritizing subsidies over investments, despite the economic crisis brought about by the covid-19 pandemic. In the first six months of this year, subsidies and financial transfers totaled 463.5 billion pesos, according to data released by Mexico’s Secretariat of Finance (SHCP). In contrast, physical investment — which is focused on building, conserving

Read more

Mexico Anticipated to Lose 2 Percent GDP Over Gas Subsidies

Posted on by 2 comments

By KELIN DILLON According to the Mexican Center for Economic and Budgetary Research (CIEP), if the current tax subsidies provided to gasoline and diesel by the Special Tax on Production and Services (IEPS) are maintained, the Mexican economy will lose 554 billion pesos and experience 2.4 percent contraction in GDP in 2022 as a direct result of the policy. Given

Read more

Keeping Gas Prices Low Will Cost Mexican Government Dearly

Posted on by Leave a comment

By THE PULSE NEWS MEXICO STAFF Keeping President Andrés Manuel López Obrador’s (AMLO) promise on Thursday, March 3, to not raise gasoline prices as global crude oil prices soar will come with a hefty price tag for his administration, experts warned on Friday, March 4. Just last January, the fiscal stimulus granted by the government to gasoline consumers represented a

Read more

Dos Bocas Price Tag Soars by 40 Percent

Posted on by 2 comments

By THE PULSE NEWS MEXICO STAFF The cost of Mexico’s Dos Bocas refinery — one of President Andrés Manuel López Obrador’s pet megaprojects — is expected to cost 40 percent more than previously estimated — some $3.6 billion more — and is unlikely to be completed before the government’s 2022 deadline, inside sources reported. Construction of the 340,000-barrel-per-day refinery is

Read more

AMLO’s Electricity Reform Could Cost 261 Billion Pesos

Posted on by Leave a comment

By THE PULSE NEWS MEXICO STAFF If Mexican President Andrés Manuel López Obrador’s (AMLO) controversial electricity reform — which would prioritize the use of state-run carbon-based fuels over private, clean-sourced energy — passes, the federal budget could lose up to 261 billion pesos in 2022, according to the  Center for Economic and Budgetary Research (CIEP), Mexico’s top independent thinktank. In

Read more

The Dangers of Eliminating Independent Organizations

Posted on by 2 comments

By KELIN DILLON Mexican President Andrés Manuel López Obrador (AMLO) has drawn intense criticism after calling for the elimination of independent organizations by their absorption into the state, a move that would consolidate the Mexican government’s power and remove its checks and balances. López Obrador tried to justify his proposal by saying autonomous organizations “cost a lot to maintain,” going

Read more