October 22nd, 2021
1. Congress approves 2022 Revenue and Miscellaneous Tax Law
The 2022 Income Law was approved by the Chamber of Deputies. This new legislation proposes raising MXN $7 billion (88,250.3 million pesos), of which MXN $3 billion will come from taxes. The new law does not propose new taxes. A reserve was approved allowing states to return resources they do not spend with a cutoff date of December 2022.
An article was eliminated that sought to increase the Special Tax on Production and Services (IEPS) of automotive fuels. An adjustment was made to the Executive’s proposal specifying that unemployed people over 18 year old would not be subject to sanctions.
2. The Ministry of Communications and Transportation reforms air safety
The Ministry of Communications and Transportation (SCT) published a decree in which Mexican Aeronautical Registry regulations were amended and added, some of which were Federal Aviation Administration of the United States (FAA) stipulations that would return to the country a category 1 country after it was downgraded to category 2 on May 25, 2021.
These long-term reforms are based on statements of the Secretary of Communications and Transportation, Jorge Arganis. Among the changes, it specifies that the registry will oversee the Federal Civil Aviation Agency (AFAC) of the Secretariat. The General Directorate of Civil Aeronautics will undergo a name change to the Federal Civil Aviation Agency, AFAC.
3. Mexican economy projected to grow 5% in the second half of the year
According to Timely Indicator of Economic Activity (IOAE) of the National Institute of Statistics and Geography (INEGI) projections, before the end of the year, the Mexican economy will grow 5%, after slowing down in the beginning of the second half of 2021. Trade and services will drive this national economic growth. They are slated to grow 6.1% in October, in line with job recovery and entertainment venue reopenings.
Industrial activities were projected to grow 4.0%, based on a gradual energy sector recovery and increased semiconductor production. The latter’s shortage negatively affected manufacturing industries such as automotive, tech, and processed beverages. The federal government recorded greater tax collection between January and October (MXN $ 3 trillion or 497 billion pesos) in comparison to 2020 data.
El Economista: Economía mexicana daría modesto salto de 5% en septiembre; impulsada por comercio y servicios: IOAE.
Dinero en Imagen: Sin aumentar los impuestos recaudamos 3 billones 505 mil mdp: López Obrador.
4. New environmental approach in the US-Mexico relationship
President Andrés Manuel López Obrador presented the “Sembrando Vida” program to US Special Presidential Envoy for Climate, John Kerry, in Chiapas. The President also proposed the Comprehensive Development Plan for Central America to United States President Joseph R. Biden. It includes implementing the “Sembrando Vida” and “Jóvenes Construyendo el Futuro” programs in Guatemala, Honduras, and El Salvador. These programs are committed to increasing southern Mexico and Central American environmental commitments.
The head of the Ministry of Foreign Affairs, Marcelo Ebrard, the Secretary of Economy, Tatiana Clouthier, southern Mexico governors, the American ambassador, Ken Salazar, and businessmen from the United States met to discuss a plan to boost economic development in the south of the country. The meeting proposed investing USD $25 billion between 2022 and 2024 to promote economic growth in southeast Mexico, which will be overseen by the Ministry of Economy.
5. Government finds link between video games and organized crime
The Government of Mexico warned about latent risks for underage video gamers. The Oaxaca State Attorney General’s Office rescued three minors after they were contacted by a criminal group to carry out surveillance of police actions in Nuevo León.
The Secretary of Security and Citizen Protection of Mexico, Rosa Icela Rodríguez, presented a warning to parents emphasizing safety in online video games. The authorities confirmed that illegal activities are committed on other online video game platforms because the phenomenon is also present in other virtual platforms such as Tik-Tok and Instagram.