March 3rd, 2023


1. Banxico forecasts slower growth for the country in 2023

The Bank of Mexico (Banxico) reported that, given the deceleration of economic activity in the United States and the increase in inflation still perceived in the world, Mexico is expected to grow 1.6% this year, a reduction of 0.2% compared to the previous estimate.

Meanwhile, the National Institute of Statistics and Geography (Inegi) reported that the unemployment rate during January was 3%, showing a slight increase compared to December’s level, which reached 2.8%.

El Financiero: Banxico da ‘tijeretazo’ a pronóstico de crecimiento para 2023 y 2024.
Forbes: Tasa de desempleo en México se ubica en 3% en enero.

2. Mexico strengthens its position to attract foreign investment

President Andrés Manuel López Obrador and businessman Elon Musk confirmed the opening of Tesla’s first plant in Nuevo León, with an investment of approximately $10 billion dollars. The company has assured that recycled water will be used in the manufacturing process so as not to affect the population given the scarcity in the state.

Similarly, Antonio Arranz, CEO of DHL Express Mexico, informed that the company will invest $1 billion pesos to cover the new facility’ requirements at the Felipe Angeles International Airport (AIFA). The executive highlighted the country’s potential to face challenges and create opportunities, as well as the creation of jobs in the region.

Infobae: Tesla sí instalará Gigafábrica en México, AMLO confirmó inversión millonaria.
BBC: Tesla llega a México: las ventajas del país para ser el mayor fabricante de autos eléctricos de América Latina (y qué gran obstáculo enfrenta).
El Economista: DHL inicia operaciones de carga en el AIFA; anuncia inversión por 1,000 millones de pesos.

3. Mexico City passes Circular Economy Law 

The Government of Mexico City published in the Official Gazette the Circular Economy Law, making it the first entity to have legislation in this area. The objective of the law is to boost economic growth and create new jobs along with actions that address climate change through the reuse of waste, recycling and reincorporation of solid waste into the value chain. 

Business organizations, such as the National Chamber of the Cosmetic Products Industry (CANIPEC), highlighted the role of legislators in considering a diversity of voices in order to create an opinion that integrates multiple experiences and good practices in this area.

Reforma: Promulgan la Ley de Economía Circular.
ContraRéplica: Palomean Ley de Economía Circular de la CDMX.
Expansión: ¿Qué es la Ley de Economía Circular aprobada por el Congreso de la CDMX?

4. Plan B of the Electoral Reform goes into effect

The Official Gazette of the Federation (DOF) published the various modifications of the so-called Plan B of the Electoral Reform which, among other things, restructures the National Electoral Institute (INE). In order to give continuity to the changes contemplated, INE removed from office the former Executive Secretary, Edmundo Jacobo Molina.

Despite the changes, the published decree specifies that the reforms will not be applicable to the electoral processes of Coahuila and the State of Mexico, to be held in June 2023, however, they will dictate the rules for the development of the presidential elections in 2024.

Infobae: Cierre precampañas: Delfina Gómez y Alejandra del Moral miden fuerzas en Texcoco.
El Economista: INE acata “Plan B”; cesa a Edmundo Jacobo y presenta juicio ante TEPJF.

5. Citizens come out in defense of democracy

Close to 90 thousand people took to the streets to express their dissatisfaction with the electoral reforms that threaten the country’s democracy, and to call on the Supreme Court of Justice to invalidate the so-called Plan B Electoral. In addition to Mexico City, these rallies also took place in other states, such as the State of Mexico, Tamaulipas, Nuevo Leon, as well as outside the country.

Recently, The Economist published the Democracy Index in which, for the second consecutive year, Mexico lost several places and reached 86th out of the 167 countries that comprise it. Among the reasons for this setback is the attack on the media and the concentration of power within the Federal Executive.

El Financiero: Marcha por el INE: 90 mil personas ‘abarrotan’ el Zócalo de la Ciudad de México.
El Economista: Gobierno y aerolíneas pactan traslado de transporte de carga al AIFA: AMLO.
Expansión: The Economist: México retrocede en el índice de democracia.