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LATIN AMERICA ADVISOR

LATIN AMERICA ADVISOR

A daily publication Of the dialogue

May 25, 2023

Can Mexico Boost Investment in the Country’s South?

Mexican President Andrés Manuel López Obrador this month released details of a plan to attract investment to the southern part of the country. // File Photo: Mexican Government.

Q

  • Mexican officials on May 8 released details of a plan to attract investment to the southern part of the country. The plan includes the construction of a freight rail line to link Mexico’s Pacific and Gulf coasts, as well as establishing 10 industrial parks along the route; four in Veracruz and six in Oaxaca. Why is President Andrés Manuel López Obrador’s administration targeting the country’s south, and what are the plan’s expectations? What kind of investment is it seeking to attract, and what incentives is the administration offering? How much would the plan strengthen the economies of Mexico’s southern states?

A

Nicolás Mariscal, member of the Advisor board and chairman of Grupo Marhnos in Mexico City: “The southern states of Mexico are less developed than the northern and central regions, where there is a greater variety and sophistication of capabilities and productive investments. President Andrés Manuel López Obrador’s administration is targeting the south of Mexico as part of its broader development strategy to reduce regional disparities. It aims to unlock the economic potential of this area and stimulate economic growth in the southern states, such as Veracruz, Chiapas and Oaxaca. The specific expectations of the plan are to boost economic activity, increase productivity and enhance connectivity within and beyond the southern region. The freight rail line will facilitate the transportation of goods between the Pacific and Gulf coasts, improving logistics and trade opportunities. This corridor could have the potential to…”

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The Inter-American Dialogue publishes the Latin America Advisor every business day for a distinguished membership of informed corporate leaders, scholars, and government officials invested in Latin America’s development and future. The Advisor‘s highly regarded Q&A section covers questions submitted by subscribers themselves. Commentators regularly include heads of state, business leaders, diplomats, economists, analysts, and thought leaders from around the world. Many of the world’s largest and fastest-growing companies subscribe to the Advisor. To subscribe, click here. For terms and conditions, click here. For more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.
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board of advisors

Diego Arria
Director,
Columbus Group

Merike Blofield
Professor of Political Science,
University of Hamburg

Devry Boughner Vorwerk
CEO,
DevryBV Sustainable Strategies

Joyce Chang
Global Head of Research,
J.P. Morgan

Marlene Fernández
Corporate Vice President for Gov’t Relations,
Arcos Dorados (McDonald’s)

Peter Hakim
President Emeritus,
Inter-American Dialogue

Donna Hrinak
Director,
Adtalem Global Education

Jon E. Huenemann
Council Member,
GLG Inc.

James R. Jones
Chairman,
Monarch Global Strategies

Craig Kelly
Senior Director,
Int’l Gov’t Relations,
Exxon Mobil

Barbara Kotschwar
Professor of Political Economy,
Georgetown University

John Maisto
Director,
US Education Finance Group

Nicolas Mariscal
Chairman,
Grupo Marhnos

Thomas F. McLarty III
Chairman,
McLarty Associates

Beatrice Rangel
Director,
AMLA Consulting

Ernesto Revilla
Head of Latin American Economics, Citi

Gustavo Roosen
President,
IESA

Andrés Rozental
President, Rozental &
Asociados

Shelly Shetty
Managing Director,
Sovereigns, Fitch

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A Tale of Two Sheinbaum’s: Mexico’s Security Strategy Home and Abroad

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