Mexico: Targeting New Opportunities

Growing trade with the U.S. and Canada, competitive raw materials, and proximity to the world’s largest market are reviving investor interest in Mexico. Its cross-border manufacturing sector is thriving again after losing much of that business to China over the past decade. Yet Mexico’s GDP has averaged 2.8%/year in the last 15 years, hurt in part by a persistent failure to enact fiscal and energy policy reforms, analysts say. A daunting bureaucracy, low productivity, and concerns about skyrocketing crime linked to narcotics trafficking also persist...

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