Private investment is discouraged by federal government reforms: Coparmex Querétaro

Querétaro, Qro. Private investment, both national and foreign, has been discouraged, as there is concern that the rule of law is not respected, declared the president of the local Business Center of the Employers’ Confederation of the Mexican Republic (Coparmex) on Queretaro, Jorge Camacho Ortega.

The businessman explained that there is concern among investors about the reform initiatives that the federal Executive has proposed in the field of energy, which generates uncertainty.

“The concern that exists regarding investments is that the rule of law is not respected, that is the concern as such, that we are seeing it with the energy reform that if this reform is passed there would be a violation of international treaties, in particular the Treaty between Mexico, the United States and Canada; and there would be very big demands for the country that would have to pay them because it would be a violation; private, national and foreign investments are being pushed away and discouraged, ”said Camacho Ortega.

Although there have been no cancellations of investment projects, he said, there are projects that are on hold.

“There are no cancellations, but let’s say there are (projects) on standby, I don’t know how many, but for example this year’s investment has slowed down compared to what had been invested in Mexico,” he said.

However, he stressed that there are opportunities for the country to attract investment projects that are currently established in Asia, because there are companies that are analyzing reducing logistical risks.

“There is a great opportunity now that many of the American companies that are in China are wanting to bring these investments to the American continent and the ideal place to attract them is Mexico (…) And the conditions have to be given for that to happen, guarantee the Rule of Law ”, commented the state leader of Coparmex.

In this sense, the state has a portfolio of 40 investment projects, which, if materialized, would involve investments of 87,000 million pesos and the creation of 23,000 jobs, according to the Sustainable Development Secretariat (Sedesu). The agency expects to make about 10 investment announcements before the end of the year.

Third quarter of 2021

In the third quarter of 2021, Querétaro captured 207.6 million dollars in Foreign Direct Investment (FDI), according to records from the Ministry of Economy (I KNOW).

The accumulated figure in July-September is mainly made up of intercompany accounts, a segment that contributed 119.4 million dollars, 57.5% of the total; in addition to 81.3 million dollars (39.2%) for new investments and only 6.9 million (3.3%) for reinvestment of profits.

[email protected]

Leave a Comment