The Executive Director of the International Monetary Fund (IMF) urged Mexican authorities to take advantage of nonrecurrent income – including any future transference of operational remnants of the Bank of México (Banxico) – in order to reduce the financial requirements of the public sector below the set outcome.
The 2016 annual evaluation of the Mexican economy carried out by the aforementioned organism also contains recommendations on the elimination of subsidies on electricity while maintaining programs focused on social welfare to protect vulnerable homes.
Likewise, the document exhorted Mexican authorities to strenghthen tax frameworks even more so,which includes improving ties between desirable public debt levels and medium-range objectives for tax deficit; as well as responsability reduction from the exceptional circumstances clause.
The total of recommendations of the Executive Directors of the IMF were set on the fact that México is exposed to external shocks, including increasing protectionism, due to the strong financial and commercial ties with the rest of the world, despite the resilience the country has shown in light of recent events.
