In a bid to stimulate Mexico’s economic growth, President Claudia Sheinbaum is enhancing collaboration with both domestic and international businesses. This initiative focuses on accelerating investment projects and bolstering investor confidence amid a challenging economic outlook. According to Mexico’s Business Coordinating Council, the government has advanced over 20 investment projects valued at approximately $3.75 billion this year, with a significant focus on the electricity sector. The initiative underscores a more proactive role for the executive branch in coordinating with companies and removing obstacles to investment.
Sheinbaum recently engaged with Mexican and American business leaders, as well as US Ambassador to Mexico Ronald Johnson, to explore bilateral economic relations and investment prospects in strategic sectors such as semiconductors, railways, financial services, and medical devices. These discussions also addressed trade relations, tariffs, and future considerations regarding the United States-Mexico-Canada Agreement (USMCA). Following these talks, Sheinbaum announced Nestlé’s plan to invest $2 billion in Mexico during her six-year term. Business representatives also indicated a desire to maintain and expand their investments in the country.
The Mexican government is increasingly leaning on private capital to sustain economic activity while aiming to reduce the fiscal deficit. In 2025, Mexico’s economy experienced growth of only 0.8%, with the Finance Ministry projecting growth of between 1% and 2% for 2026. Foreign direct investment reached nearly $35 billion in the first half of the year, although domestic private investment remains the larger contributor to overall investment. Under the Plan México initiative, the government seeks to attract over 5.6 trillion pesos in combined public and private investment by 2030 across sectors like energy, transportation, highways, and airports.
To facilitate these goals, the administration is pursuing legislative changes to enhance access to investment financing and credit. Officials hope these measures will encourage businesses to embark on new projects and bolster Mexico’s productive capacity. However, economic analysts have expressed concerns that uncertainties surrounding US trade policy, potential tariffs, and the impending USMCA review could dissuade large-scale investment. Additionally, issues related to regulatory changes, legal certainty, and access to water remain significant factors influencing business decisions.
Recent investment figures offer some optimism, with Mexico’s gross fixed capital formation increasing by 6% year-on-year in July, and private investment rising by 5.9%, signifying improved economic activity. Despite this, analysts caution that a single month of growth does not necessarily indicate a sustained recovery in investor confidence. The future of Mexico’s economic outlook will partly depend on its ability to maintain robust commercial ties with the United States and Canada while addressing domestic investment barriers. The Sheinbaum administration is banking on closer engagement with businesses, improved financing opportunities, and expedited project approvals to spur economic growth and attract further capital investment.