By Lisa Coleman
It’s tough for investors around the world this week. The instability of the U.S. and other world markets is getting the usual heavy press. Gloom and doom at the click of a mouse… But maybe you need to look a bit further south for some good news. While diligently battling the headlines of drug violence, Mexico is quietly making huge strides.
In the eyes of global investors, Mexico is hardly the pariah painted in the news. Their economy has grown 5.5% in the first quarter of this year and, aaccording to the head of the Treasury and Public Finance Secretariat (SHCP), Ernesto Cordero Arroyo, between January and July of this year, 425,819 jobs were created in Mexico. That represents an increase of 2.9 % compared to 2010.
Here are some other tidbits you may find interesting.
• According to Gloria Guevara, the Secretary of Tourism, there has been a 127% increase in tourism investment.
• International Finance Corporation (IFC), the institution for private sector of the World Bank Group (WB) will provide $25 million dollars for a fund managed by Artha Capital to invest in real estate in Mexico. “The amount is intended to create communities developed under standards of environmentally friendly construction. The project includes the acquisition of land for planned urban projects and basic infrastructure for housing, tourism, industrial and commercial developments.”
• According to the Institute of Statistics and Geography (INEGI), Mexican manufacturing grew at an annual rate of 6.8% in May, and continues to be the spearhead of the Mexican economy.
• According to the state-run news agency Notimex, “Mexico’s mining industry will attract record investment of $4.73 billion this year. The industry is forecast to receive investment of $4.48 billion next year, according to the chamber. Sergio Almazan, executive director of the chamber, said about half of the investment comes from foreign companies, mostly from the U.S.,” Notimex said.
• According to Energy Solutions, Mexico announced on a $2.5 billion investment in new wind farms to generate more than 300MW of electricity across the country, part of the government’s push to expand renewable energy. “San Diego-based Cannon Power Group, which already works in the Baja California peninsula, will build another project there along with a plant in the central state of Zacatecas and in southern Quintana Roo, home to popular tourist resort Cancun.”
• General Motors plans to invest approximately $900 million in its manufacturing plants in the country.
• According to Bloomberg.com, Honda Motor Co., Japan’s third-largest automaker, plans to invest at least $500 million to build a car factory in Mexico.The plant will likely be located in Salamanca, a city in the central state of Guanajuato, and construction would begin next year, El Financiero reported (citing Mexican Economy Ministry officials it didn’t identify by name). Honda already has a plant in Mexico’s southwestern state of Jalisco, according to its website.
There are stories like this every week that demonstrate over and over again that Mexico is a real player in the world marketplace. Despite the struggles, Mexico trudges on… building, growing and making an impact on their own future.
Disclosure: I am being compensated for my work in creating and managing content as a Community Manager for the México Today Program. All stories, opinions and passion for all things México shared here are completely my own. Mexico Today is a joint public and private sector initiative designed to help promote Mexico as a global business partner and an unrivaled tourist destination.