Concerned about the slow dynamism of the Mexican economy, despite the accelerating growth rate of the United States, as the main trading partner, the Council for Coordination of Business (CCE) will present to the Ministry of Economy an economic revitalization plan for Mexico, which includes incentives that will revitalize investments and aspire to a GDP higher than 3% as of 2022.
On Friday, the 12 bodies of the CCE will meet with the head of the Ministry of Economy to start developing the economic revitalization program, proposed by the private sector, with the aim of making activity more dynamic, which includes about 30 proposals ranging from accelerated consumption to increasing investments, and support for micro and small enterprises and middle-income countries through development banks, streamlining procedures, and high-level dialogues with the United States to strengthen production chains affected by the COVID-19 pandemic, among others.
The idea is that it not only serve in the exit phase of the (economic) crisis but also be sustainable in subsequent years, striving for higher growth than is currently expected. To do this, it is considering that GDP from 2022 onwards is between 2 and 2.5% for Mexico, but the measures will help grow by 3% and make it sustainable,” a business source said.
Last Wednesday, the Minister of Economy confirmed that she would meet with the plenary session of the Economic Cooperation Committee, in which she said that she had held talks with the country’s business sector, to reactivate the measures that lead to the economic recovery of Mexico.
And the third wave of the virus was presented as a brake on economic activity for the second semester, so it will work on measures ranging from foreign trade, paperwork, and financial stimulus, among others, members of the Continuing Education Committee commented on the Economista.
The council explained that “(the plan) is not a letter to Santa Claus for the Ministry of Finance, there are few financial measures that may have a significant impact on financial affairs, but when implemented they are rewarded in new investments, companies and jobs.”
The plan to be presented by the Center for Continuing Education talks about proposals not about costs but about political will, because “one of the few incentives is that there is a rapid devaluation of the currency to attract investment. It has a financial cost, but it can be offset by managed investments.”
A few days ago, Carlos Salazar Lumelin, President of CCE, expressed: “We are very concerned about our inability to grow quickly and relate to the United States, which is flying and we cannot make it superior to them, it is an area that we are leaving behind the table at the expense of the unemployed.”
To do that, “we come up with a program with the Ministry of Economy, which other countries want, if we can implement it, we will see if we can do it.”
The Center for Continuing Education will make suggestions or proposals to make the economic recovery more dynamic and at some points the need for investment is mentioned, although it is not part of the infrastructure investment package.