Mexico’s foreign direct investment falls
Foreign direct investment in Mexico was US$7.46 billion (euro6.13 billion) in the first half of this year, the Economy Department said Friday.
The amount was below the US$10.29 billion (euro12.73 billion) reported in the like 2004 period, when the equity buyouts of local bank BBVA-Bancomer and cement company Holcim Apasco by their parent companies boosted investment.
By excluding those inflows from the comparison, FDI was 8.3 percent higher than in the first six months of 2004, the Economy Ministry said in a statement.
Of the US$7.46 billion in first-half FDI, US$2.12 billion (euro1.74 billion) was in new investment, $2.4 billion (euro1.97) was reinvested profits, US$1.54 billion (euro1.27 billion) was transfers among companies and US$1.39 billion (euro1.14 billion) was imports of fixed assets by assembly-for-export plants, or maquiladoras.
The top sources of investment were the United States, Spain, the Netherlands and Canada.
More: businessweek.com
Construcciones y Auxiliar de Ferrocarriles SA has won the bid to construct and operate a light rail network in Mexico City, with an investment totalling around 510 mln eur, El Pais reported, citing the Mexican transport authorities.
CAF beat Alstom for the contract, the newspaper noted.
The new rail network will be operational in Oct, 2006, El Pais added.
Source: forbes.com
Mexico Gains In Foreign Investment Confidence - Survey
Mexico's attractiveness as a destination for foreign direct investment rose this year, but the country remained outside of the top 10 for the second straight year, global consulting company AT Kearney said Wednesday.
Mexico placed 16th on AT Kearney's 2005 FDI Confidence Index, up from 22nd in 2004. In Latin America, only Brazil was above Mexico, rising to seventh place from 17th a year ago.
AT Kearney vice president Ricardo Haneine said at a press conference that investment expectations for the manufacturing sector, including assembly-for-export maquiladora plants, was the main cause of
Mexicos Stock Index Falls on Political Concern: Latin Stocks
Mexicos stocks fell for a third day on concerns a Felipe Calderon administration would lack support in Congress to pass legislation opening the energy industry to private investment and keeping the budget balanced.
The Bolsa index fell 136.30, or 0.7 percent, to 19,563.85 as of 3:56 p.m. New York time, led by Wal-Mart de Mexico SA, Latin Americas largest retailer. Elsewhere in the region, Brazils Bovespa rose 403.66, or 1.1percent, to 36,544.30.
Mexicos Bolsa last week rose the most in three months after a second vote tally from the July 2
Brazil Bovespa Falls on Politics; Mexico Falls: Latin Stocks
Brazil's main equity index fell for the first time this week, led by state-controlled oil company Petroleo Brasileiro SA, on concern further revelations from a probe into alleged vote-buying may weaken the government.
The Bovespa index of the most-traded stocks on the Sao Paulo Stock Exchange fell 555.25, or 2.1 percent, to 25,364.70 at 1:22 p.m. New York time. The Bovespa gained 3.9 percent for the week, boosted by a poll Tuesday that showed President Luiz Inacio Lula da Silva's approval rating rose in June, easing concern he would lose support over
Mexicos Peso Falls to Eight-Week Low Amid Inflation Concerns
Mexicos peso dropped to an eight- week low against the dollar and local-currency bonds fell on expectations inflation quickened last month.
The peso fell as much as 0.6 percent today before a report that is expected to show consumer prices rose 0.44 percent last month, the biggest increase in seven months, according to the median forecast of 16 economists in a Bloomberg survey. Accelerating inflation decreases the value of peso-denominated assets.
The inflation number today is going to look pretty bad, said Raul Rodriguez, head of economic analysis at Mexico City- based
Cascada Cola de Caballo (Horsetail Falls): Monterrey
"Horsetail Falls", a 25 meter waterfall, is six km up a road leading west off the national highway at the south end of El Cercado. You can park at either the hotel or continue up the rod a few meters to the main entrance to the falls. After parking and paying admission, you can begin the scenic walk (or ride a donkey cart) to the falls. You can walk until cascades (almost one mile) from the entrance or can rent a cart thrown by a horse or mounting to horse. You can acercarte
Mexico's Femsa 4th-qtr net profit falls 14 pct
Mexico's Femsa, Latin America' largest beverage company, posted a 14 percent drop in fourth-quarter net profit due to the absence of tax benefits it enjoyed a year earlier.
Femsa, which runs the world's No. 2 Coke bottler and also brews Tecate and Sol beers, said on Monday its net for the October-December period was 1.661 billion pesos ($156 million) down from 1.929 billion pesos a year before.
Femsa's shares (FEMSAUBD.MX: Quote, Profile, Research) rose 1.08 percent on Friday to 87.13 pesos. Its American Depositary Receipts (FMX.N: Quote, Profile, Research) moved up 1.32 percent to $83.16.
Migration Moves Into Mexicos Presidential Race
As immigration reform progresses in Washington ahead of the 2006 mid-term elections, the issue of how Mexicans, legal and illegal, are treated in America is becoming an issue in Mexicos political arena as well.
While the issue isnt as divisive for Mexican politicians - all advocate better treatment of Mexican citizens in the U.S. - candidates in the upcoming presidential election are seeking to leverage the issue to their benefit.
Felipe Calderon, who is barely leading leftist candidate Andres Manuel Lopez Obrador, has staked out the immigration issue, speaking out against the Senates proposal to erect
OECD says Mexico could eventually move to direct setting of rates, drop 'corto'
The Mexican central bank could eventually drop the 'corto' mechanism and switch to a system of directly setting interest rates, the OECD said in a report on the Mexican economy.
The Bank of Mexico currently influences market interest rates through the 'corto' instrument, under which it sets a target for the amount held by banks in accounts at the central bank.
An increase in this target drains liquidity from the money market and pushes short-term interest rates higher, while an increase in the 'corto' target produces the
Mexico's Caribbean tourism resurfacing
Even as Mexican tourism officials sound the all-clear for parts of its Caribbean playground ravaged by Hurricane Wilma last month, potential visitors may find the destination cumbersome and costly to access thanks to cutbacks in air service among U.S. carriers.
American Airlines, a major player in the market, won't resume normal schedules until February, though it has added flights in December to meet holiday demand. United, Delta and Continental also have reduced service until at least mid-December. US Airways resumes its full schedule Dec. 1.
In the meantime, officials hoping to salvage the lucrative winter season are trying to
