MarketWatch and the Dallas Morning News this month quoted Haynes and Boone, LLP Partner Alberto de la Peña in articles about the Mexican presidential election, economic integration between the U.S. and Mexico, and the North American Free Trade Agreement (NAFTA).
Andrés Manuel López Obrador “AMLO,” as he is known, ran a very effective campaign, winning the election with more than 52 percent of the votes. He symbolizes a big shift for Mexico.
However, AMLO “did not come across as radical” after winning the election, Alberto de la Peña, a partner at Haynes and Boone and head of the Mexico practice group, told MarketWatch.
Here is a MarketWatch excerpt:
“AMLO’s first speech was one that gave comfort to the market,” de la Peña said.
de la Peña suggested there could be a surge of public-private partnerships, particularly in the energy and power sectors.
“Let’s also not forget that AMLO wants to put a lot of money into infrastructure but has also said that he wants to be fiscally responsible. That means Mexico will need investors, and I think there will be appetite,” he added.
Investors are trying to assess what’s next for Mexico’s $2 trillion economy, which has quadrupled in size since NAFTA began in 1994. The economic integration among Mexico, U.S. and Canada has continued to grow year after year during NAFTA. de la Peña said AMLO’s desire to raise wages for workers aligns fairly well with the U.S. idea to make wages more equal across NAFTA countries.
“AMLO probably won’t match what they want, but it would be a concession,” de la Peña said.
de la Peña also told the Dallas Morning News he does not expect any immediate upheaval, but he does predict the economic integration will continue.
“That’s inevitable. That’s market-driven. Not policy-driven. Opportunities will come in different forms,” he said. “AMLO wants a heavy investment in infrastructure, and they don’t want to borrow money and grow the country’s debt. This will open the door for more public-private partnerships.”
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To read the full MarketWatch article, click here.