Mexico on track for deficit goal as Pemex debt plan gains ground
SPY•Mexico is on track to meet its fiscal deficit target of 4.1% of GDP this year, Finance Minister Edgar Amador said. Pemex received 136.5 billion pesos in government support through the third quarter, and its financial debt stood at $77.6 billion at the end of September.
1. Deficit target on track
Finance Minister Edgar Amador said Mexico is on track to meet its fiscal deficit target of 4.1% of GDP this year and is sticking to its plan for fiscal consolidation.
2. Pemex debt support
Amador said the most difficult phase of managing state oil company Pemex’s short-term debt burden had been completed. Pemex received 136.5 billion pesos ($7.24 billion) in government support through the end of the third quarter. Deputy Finance Minister Maria del Carmen Bonilla said 52% of this year’s transfers to help amortize Pemex’s debt went to bondholders and 46% to reduce bank debt; Pemex’s financial debt stood at $77.6 billion at the end of September.
