Mexico to get investment boost from Ukraine war, president says

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Mexican President Andres Manuel Lopez Obrador speaks at a meeting prior to the inauguration of the new Felipe Angeles Airport in Zumpango municipality in Mexico Point out, Mexico March 21, 2022. REUTERS/Luis Cortes

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MEXICO Metropolis, March 21 (Reuters) – President Andres Manuel Lopez Obrador on Monday stated Mexico will get an financial commitment raise on the again of the Ukraine war, predicting that money the moment destined for Russia and other rising economies will go into his state.

He cited an unknown “financial report” for his assertion, and he also predicted a raise in financial advancement and work.

Mexico’s financial state stagnated in the last quarter of 2021 and financial commitment has been lackluster beneath Lopez Obrador, who has rattled corporations by contacting contracts issued under previous governments into issue, arguing they were tainted by graft.

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“With this new financial disaster ensuing from the war, Mexico results in being if not the to start with, then the next or third place with most financial investment chances in the earth,” Lopez Obrador told a frequent morning information conference.

The United States, Britain and the European Union have imposed challenging sanctions towards Russia in excess of its invasion of Ukraine, resulting in the Russian forex to tumble and the departure of overseas firms.

“With Russia and with what is taking place in other countries that ended up considered rising economies (and) pretty favorable for expense in the world, now there has been a shift and, the good thing is, our region is in the leading amounts,” Lopez Obrador mentioned.

Lopez Obrador was talking at the opening of a new airport designed to replace an earlier, partly-concluded a single he scrapped, a go that shook business self-confidence in Mexico. read much more

Levels of gross fastened investment decision in Mexico had been at the close of 2021 15% decreased than when Lopez Obrador was elected in July 2018, according to knowledge from the countrywide studies company.

Mexico’s financial system expanded about 5.% in 2021 just after shrinking 8.5% in 2020, its sharpest slump considering the fact that the Terrific Melancholy of the 1930s. The Mexican financial state ministry has forecast growth of close to 2.5% for 2022.