- Foreign investment opportunities are available..
- Its advantages are overshadowed by obstacles, uncertainty, and little respect for the rule of law..
Mexico City, February 24, 2022. Jorge León Orantes, an expert in mergers and acquisitions from the legal firm Santamarina y Steta, pointed out that our country still has many attractions for national and foreign investors, but unfortunately, they are getting uglier. “All this, while in other countries investment environments are being stimulated for economic recovery,” he said.
The specialist indicated that there is a lot of money in the world and that it is turning to see Mexico as an opportunity to invest, given that the first-world governments injected support into their productive society, which left a lot of investment available. "The supply lines will return to America and Mexico has a great opportunity due to its geographical position, since this relocation reduces the risk for US companies. Everyone is looking for growth; eight in 10 global CEOs say they will achieve growth through mergers and acquisitions,” he reported.
The expert also pointed out the factors that turned the Mexican attractiveness of capital flows. “They had been energy and infrastructure, but that was delayed due to the dramatic change in public policies. Meanwhile, the pandemic triggered and accelerated the appeal in other sectors that came as second-order trends. There, among the winners, the technology sector stands out, which is transversal because it affects the financial, retail, and e-commerce sectors”, he pointed out.
The executive also stressed that the early and clear adoption of strategies to respect the environment, the social environment, and corporate governance (ESG) is playing a key role in certain sectors to attract capital. "For example, in Mexico, there is also an appetite to invest in the agricultural sector under these precepts."
Jorge León Orantes concluded by saying that due to its geopolitical position and demographic bonus, our country is extremely attractive and strategic for investments, “Even when you are not doing your homework, various obstacles in key sectors are not resolved, and there is an atmosphere of uncertainty and little respect for the rule of law. If it did, it would be one of the most attractive investment areas in the world. It is time for Mexico to stop being the Cinderella of America. The energy and infrastructure sectors are key for our region, but the government cannot do it alone”, he concluded.
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