Investment attraction is essential for the economic recovery of Querétaro

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According to Coparmex, the reform initiative that the Federal Executive will propose to eliminate the outsourcing scheme is one of the elements that worries the private sector.

“Querétaro, Qro. The attraction of national and foreign investment will be essential in the process of economic recovery for our state”, said the president of the Employers’ Confederation of the Mexican Republic (Coparmex), Lorena Jiménez Salcedo, during her visit to Queretaro.

The businesswoman explained that in order to promote the arrival of capital, it is still necessary for investors to be granted certainty from the national level.

“What Mexico needs today is certainty, it is what it needs the most for investments to continue. If we do not generate that certainty, the economic crisis will be terrible, then what we need is to encourage both national and international investment in order to reactivate the economy ”, she declared.

The reform initiative that the Federal Executive will propose to eliminate the outsourcing scheme, is one of the situations that worries the Private Initiative because it will be detrimental to the economic recovery process that companies are experiencing.

Faced with the proposal that the federal government has launched, she spoke out against the initiative, because it could have an effect on increasing informal employment and losing formal jobs.

According to the latest survey conducted among Coparmex Querétaro members, in July, only 42% of the union members considered that it was a good time to invest, slightly above the national average of 37 percent.

Querétaro ranked seventh in the country, with the highest percentage of partners who considered it a good time to invest. Among other states, Durango registered 21% and Tabasco 58%.

While the indicator of business confidence, as of September, is barely 24 points in the state of Queretaro, according to the Data from Coparmex, based on indicators from the National Institute of Statistics and Geography.

The indicator shows the confidence of entrepreneurs to invest; with values ​​in a range of 0 to 100 points, above 50 is considered optimistic.

Until September, the Mexican states’ values ​​fluctuated between 18 (the lowest, in Quintana Roo) and 25 (the highest, in Coahuila and Hidalgo). The national average was 24 points.

The national average has had constant variations in the last year, falling from 39 points in September 2019 to 24 in the same month of this year. Since January it began to decline until it registered only 15 points in May and rose again between June and August.

The attraction of Foreign Direct Investment (FDI) in Querétaro was sustained, in the first semester of the year, by the reinvestment of profits and, to a lesser extent, by new investments, according to reports from the Ministry of Economy.

In the January-June period, Queretaro accumulated 616.8 million dollars of FDI: 63.6% (392.1 million US dollars) corresponds to the reinvestment of profits, 30.1% (185.9 million US dollars) of accounts between companies, and 6.3% (38.8 million dollars ) of new investments.

Source: El Economista

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