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Mexico’s President Expects His County to Get Investment Boost from Ukraine War

Man Manuel Lopez Obrador
Mexican President Andres Manuel Lopez Obrador speaks at a press conference in Zubango. REUTERS / Luis Cortes

Chairman Man Manuel Lopez Obrador On Monday, he said Mexico would receive an investment boost because of the war in Ukraine, predicting that capital once destined for Russia and other emerging economies would be moved to his country.

He cited an unknown “economic report” as his claim and also predicted a boost in economic growth and employment.

Mexico’s economy stagnated in the last quarter of 2021 and investment was weak under Lopez Obrador, who has rocked business by challenging contracts made under previous governments, claiming they were contaminated by donations.

“With this new economic crisis emerging from the war, Mexico is becoming, if not the first, then the second or third country with the most investment opportunities in the world,” Lopez Obrador told a regular morning news conference.

The United States, Britain and the European Union have imposed harsh sanctions on Russia over its invasion of Ukraine, causing the Russian currency to fall and foreign companies to withdraw.

“With Russia and what is happening in other countries that were considered emerging economies (and) very favorable for investment in the world, now there has been a shift and, fortunately, our country is at the top,” said Lopez Obrador.

Lopez Obrador was speaking at the inauguration of a new airport built to replace an older, partially completed demolition, a move that shook business confidence in Mexico.

The levels of gross fixed investment in Mexico at the end of 2021 were 15% lower than when Lopez Obrador was elected in July 2018, according to data from the National Statistics Office.

Mexico’s economy grew by about 5.0% in 2021, after shrinking by 8.5% in 2020, the most severe recession since the Great Depression of the 1930s. The Mexican Ministry of Economy has forecast growth of about 2.5% for in 2022.


Mexico’s President Expects His County to Get Investment Boost from Ukraine War Source link Mexico’s President Expects His County to Get Investment Boost from Ukraine War

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