Mexico Launches its Infrastructure Program

Transcription

TABLE OF CONTENTS
Mexico Launches its Infrastructure
Program
Mexico Launches its Infrastructure
Program
M
Foreign Direct Investment in Mexico
reaches record levels
Trade Balance
Financial and Economic Indicators
Trade fairs and exhibits in Mexico
The Infrastructure Program is based on a number of premises, the first being
that Mexico will have to substantially increase public investment in infrastructure, thereby increasing the availability of public funds. Second, in any economy, public investment is insufficient, meaning that private investment must be
promoted in infrastructure as an essential engine of development. Third, that
Mexico can and must promote the conditions of economic stability that the
current disciplined public finance management is providing the country.
The National Infrastructure Program has set the following general objectives:
• To increase the coverage, quality and competitiveness of infrastructure.
• To make Mexico one of the world's main logistic platforms, particularly in
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Mexico’s Official Gazette Notices
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EU Official Journal
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September 2007
Year 7, no. 9
exico understands that infrastructure plays an important role in
the increase of competitiveness and encourages more dynamic
economic growth. In order to pursue those goals, Mexico launched the National Infrastructure Program 2007-2012.
transport and energy.
To promote balanced regional development without reducing the growing
competitiveness in the north of the country, yet focusing on the areas that
lag behind in the center, south and southeast of Mexico.
To create more permanent jobs through investment and economic growth
that will be created by the infrastructure development.
To promote sustainable development through projects that preserves the
environment and encourages the rational use of Mexico's natural resources.
To promote the infrastructure required to increase tourist activities that
will trigger employment and regional development.
To improve Mexicans’ access to public services, particularly among the
most disadvantaged.
(Continues on page 3)
Foreign Direct Investment in Mexico reaches record levels
The manufacturing sector is the main recipient of FDI,
followed by financial services. The automotive, machinery and pharmaceutical subsectors concentrate 53% of
the investment in the manufacturing sector.
Mexico attracted 13,244 million dollars in foreign direct
investment (FDI) in the first half of 2007, an increase of
39% in relation to the same period of the previous year.
This is the highest historic level for such period.
Foreign Direct Investment
Billions of dollars
January – June 2007
13.2
First Semester
Second Semester
11.1
8.8 8.6
8.1
8.3
6.8 6.9
6.4
4.9
9.8
9.59.7
Manufacturing
44.2%
5.4
Commerce
8.9%
4.7
4.6
1995
1996
1997
1998
1999
2000 2001* 2002
* Excludes $12.5 bd Citicorp’s acquisition of Banamex
2003
Automotive
21.3%
Electronic
Eq.
4.7%
3.8
1994
Others
19.9%
Mining
7.2%
9.0
8.6
Manufacturing
6.4
6.1 6.3
4.5
Transp. & Others
Other comm. 1.3%
services 3.9%
5.7%
10.9
10.0
9.2
By Sector
12.6
2004
2005
2006
Other
Manuf.
5.3%
Machinery
elect.
8.5%
Metal
8.6%
Machinery
20.8%
Pharma
10.9%
Financial
services
29.0%
2007
Source: Banco de México and The Ministry of the Economy
As of June 2007, a total of 36,905 firms with foreign participation were registered in Mexico, of which 8,113 were
from the European Union.
This FDI figures show the confidence of international investors in Mexico´s recent economic and political environment. The country has a solid and increasing domestic market, as well as a network of free trade agreements
and bilateral investment treaties that continuously offers
new investment opportunities for the private sector. For
these reasons, Mexico continues positioning itself among
the top preferences of investors.
During the first six months of 2007, the United States accounted for 60.7% of total FDI, followed by Spain 13.9%,
Netherlands 3.8%, France 3.0%, Belgium 1.5% and Canada 0.8%.
By Country
Canada
0.8%
Belgium
1.5%
France
3.0%
According to the World Investment Report 2006, published by UNCTAD, Mexico is the second most preferred
location for transnational companies to establish their
businesses among developing countries.
Others
15.6%
USA
60.7%
Netherlands
3.8%
Furthermore, the launch of PROMEXICO (the new trade
and investment promotion agency) and the National Infrastructure Program, will contribute to further growth in
FDI flows in Mexico.
Spain
13.9%
For more information visit:http://www.economia.gob.mx/?P=1156&NLanguage=en
Mexico’s Total Trade in July
(billion US$)
Mexico’s Trade with EU and EFTA
(million US$)
2006
2007
%
Total
40.1
46.0
14.8
Exports to the EU
Exports
19.9
22.6
13.9
Exports (excluding oil)
16.5
18.7
Imports
20.2
23.4
January - May
2006
2007
%
4,390.2
5,060.6
15.3
Imports from the EU
11,537.1
13,018.4
12.8
13.2
Exports to the EFTA
56.8
80.7
42.0
15.8
Imports from the EFTA
520.7
568.1
9.1
Source: Banco de México
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Mexico Launches its Infrastructure Program
(Continues from page 1)
Transport and telecommunications
(Main projects)
Build and modernize 17,600 Km of higways
Construct 1,400 Km. of railroads and increase the average
speed
Develop suburban trains (Valley of Mexico and other
Metropolitan Areas)
Build 12 multimodal cargo terminals, including Punta Colonet,
in Baja California
Construct 5 new seaports, including Tuxpan II for energy
Expansions to 22 seaports, among them Lázaro Cárdenas and
Veracruz
[ these 2 projects will increase the installed capacity
for container management from 4 to 7 million TEUS
(twenty foot equivalent units) ]
Build 13 cruise-ships docks
Develop 10 new multimodal corridors
Construct 3 airports and expansions to 31 (Valley of Mexico
and increase the cargo capacity by 50%)
To realize the Program, the government will undertake
concrete actions. First of all, it will increase funds for the
development of infrastructure. Second, it will promote the
authorization of pluriannual expenditure for infrastructure
investment projects based on the tax reform proposal
submitted to Congress. Third, it will provide legal certainty for projects with public and private participation, and
rapidly eliminate excess regulation of infrastructure investment. Fourth, it will encourage better coordination
between the government agencies and the private sector.
The Program is divided into three basic areas: transport
and telecommunication, energy and water.
The Infrastructure Program contemplates an investment
of 226.1 billion dollars during the President Calderon
term, an average of 37.7 billion dollars annually. The
transport and telecommunication sector will recieve 67
billion dollars and the energy sector more than 141 billion
dollars during the next 6 years.
Energy
Investments from 2007 to 2012
(Billions of Dollars)
Resources
Public
Private
Transport & Telecommunications
22.6
44.3
Highways
14.2
11.4
Railroads
2.4
2.0
Ports
1.4
4.9
Airports
2.9
2.4
Telecommunications
1.7
23.6
Water
12.9
5.2
Water
9.6
4.1
Water-Agriculture
3.2
1.1
Energy
Electricity
Oil
Petrochemical
Total
Total
66.9
25.6
4.4
6.3
5.3
25.3
18.0
13.8
4.3
141.2
33.9
73.4
33.8
226.1

Annual
Average
11.1
4.3
0.7
1.1
0.9
4.2
3.0
2.3
0.7
23.5
5.7
12.2
5.6
37.7

(Main projects)
Increase the electricity generation capacity in 9,000 megawatts
and 14,000 km circuit-transmission
Increase of 4,000 megawatts of renewable energy
sources to achieve a share of 25 percent of the total
generation capacity
Widen coverage and enhance quality of the electricity
supply
Reduce the content of sulphur in fuels
Build 800 km of pipelines for natural gas
Increase capacity to produce gasoline and achieve a ratio
import-sale of 40 percent
Source: National Infraestructure Program
Water
Opportunities for European firms are open in all areas of
infrastructure and in the different stages of the projects
such as design, financing and construction.
(Main projects)
Construct water treatment plants in the
metropolitan areas of Guadalajara and Valley of Mexico,
to reach 60 percent of the collected waters
Increase drinking water capacity
Increase coverage of agricultural irrigation
The Program is a clear example that Mexico is working to
promote development, to become more competitive and
to position itself as one of the best destinations for investment.
For more information visit: http://www.infraestructura.gob.mx
Mexico’s Economic Indicators
Mexico’s Financial Indicators
Inflation rate: 0.41% (August 2007);
1.42% (January - August 2007)
Industrial Gross Domestic Product: 2.4% (July 2007 / July 2006)
Manufacturing: 2.80%; Construction: 1.20%, Mining: 1.80%
General Index of Economic Activity: 2.55% (Jun 2007 / Jun 2006)
Consumer Confidence Index: 108.0 pts. (August 2007)
-2.4 percentage points (Aug 2007 / Aug 2006)
Open unemployment rate: 4.0% (August 2007)
Source: INEGI
Foreign exchange rate: 11.11 peso/dollar (18-Sep-2007)
Internacional reserves: $72,280 million dollars (14-Sep-2007)
Mexican stock market index (IPC): 30,887 (19-Sep-2007)
Interest rate treasury bonds CETES 28 days: 7.20%
(13-Sep-2007)
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Mexico’s Official Gazette Notices
Trade fairs and exhibits in Mexico
• 02/08/2007 Decree to amend articles 29, 73, 90, 92,
93, 95, 110 and 111 of the Political Constitution of
the United Mexican States
• 15/08/2007 Agreement publishing the China's protocol of accession to the World Trade Organization
(WTO)
• 17/08/2007 Agreement determining the additional
quota for powder milk imports in 2006, imported
from State members of the WTO
• 30/08/2007 Agreement creating the temporary modality of transborder cargo transport between Mexico and the United States of America
MEGA EXPO FRANQUICIAS 2007
October 3-5, 2007
Centro Banamex, Mexico City
Franchise Fair
Phone : (52) 55 5575-5600
Website: http://www.mef.com.mx/
EXPO TU BODA
October 5-7, 2007
World Trade Center, Mexico City.
Exhibition of the best products for wedding events
Event Management: INTEREXPOS
Phone : 01800 0062266
Website:
http://www.nosotros2.com/expotuboda/mexico/mex
ico.aspx
EU Official Journal
• 04/08/2007 L204 Agreement between the European
EXPO CIHAC 2007
October 16- 20, 2007
Centro Banamex, Mexico City
International building and housing exhibition
Event Management: CIHAC
Phone: (52) 55 5661-0844
Fax : (52) 55 5661-3445
E-mail: [email protected]
Website: http://www.cihac.com.mx
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EXPO SALUD Y BIENESTAR
October 18-21, 2007
World Trade Center, Mexico City.
Health, beauty and fitness exhibition
Event Management: Trade Show
Phone : (52) 5545-6860
E-mail: [email protected]
Wesbite: http://www.expo-salud.com.mx/
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Union and the United States of America on the processing and transfer of Passenger Name Record
(PNR) data by air carriers to the United States Department of Homeland Security (DHS) (2007 PNR
Agreement)
18/08/2007 2007/563/CE Commission Decision of 1
August 2007 amending Decision 2006/504/EC on
special conditions governing certain foodstuffs imported from certain third countries due to contamination risks of these products by aflatoxins as regards
almonds and derived products originating in or consigned from the United States of America (notified
under document number C(2007) 3613)
28/08/2007 2007/C200/02 Non-opposition to a notified concentration (Case COMP/M.4265 — Philips/Avent)
28/08/2007 2007/C200/03 Non-opposition to a notified concentration (Case COMP/M.4475 — Schneider Electric/APC)
29/08/2007 2007/592/CE Commission Decision of
24 August 2007 amending Decision 2006/656/EC as
regards the list of territories from which imports of
tropical ornamental fish into the Community are authorised (notified under document number C(2007)
3960)
Mexico-EU Trade Links is a monthly informational newsletter published by the Mexican Mission to the EU, Representative office of the Ministry of the Economy. Av. Franklin Roosevelt 94, 1050, Brussels, Belgium.
For more detailed information or questions regarding this issue please contact us: e-mail [email protected],
fax: 32 (02) 644 04 45, or visit our website at: http://www.economia-bruselas.gob.mx
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