On Mexico’s imminent risk
Mexico's Economy The Mexico Brief. Mexico's Economy The Mexico Brief.

On Mexico’s imminent risk

by Macario Schettino.

Last Sunday, elections were held in Mexico—very unusual elections that are virtually unheard of in any other country in the world. Judges, magistrates, and justices were elected in order to completely replace the Supreme Court, to create a new Judicial Discipline Tribunal, and to fill the federal and local electoral courts, which had been incomplete. Not only that—more than eight hundred circuit magistrates and judges were elected, for a total of 881 positions.

With this election, and the law that made it possible, the Judicial Branch in Mexico ceases to be autonomous and becomes subordinated to the Executive Branch, which also controls the Legislative Branch thanks to the qualified majorities it obtained illegally just days after last year’s presidential election. Put more simply, Mexico ceases to be a republic and becomes an authoritarian system. The new judges will take office in September.

This new distribution of power—or rather, concentration of power—is a major change from just a few years ago, when the USMCA was signed, and it actually contradicts that agreement. It adds to changes in energy policy, which are also incompatible, and I don't think it will make negotiations for a new deal with the United States and Canada any easier. Even more concerning, the risk for existing investments in Mexico has increased, as the mechanisms previously available for dispute resolution have disappeared.

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Mexico’s federalism is under pressure - again
Mexico's Politics The Mexico Brief. Mexico's Politics The Mexico Brief.

Mexico’s federalism is under pressure - again

by Gerónimo Gutiérrez.

Andres Manuel López Obrador and to large extent his successor, President Claudia Sheinbaum, are criticized for concentrating political power – even to the detriment of democratic principles and norms. This criticism essentially stems from a tendency to overlook – if not undermine – the separation of powers, from dismantling of autonomous regulatory agencies or placing them under direct control of the Executive, and from an explicit decision not to interact or negotiate with opposition parties unless absolutely necessary.

To be fair, these power-concentrating actions have been possible thanks to the fact that, since 2018, Mexico’s ruling party (Morena) and its satellites have enjoyed strong voter support which granted Mr. López Obrador and President Sheinbaum comfortable legislative majorities including the supermajority needed to reform the constitution. In sum, where the current regime appreciates a historic democratic transformation of Mexico supported by the “will of the people”, its critics see the dismantling of democracy from within the regime.

Be that as it may, one development that has received less attention is the centralization of power and the public purse at the federal level of government, something that is not new to Mexico but that had gradually receded over several decades.  

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