1 / 13

Why Mexico needs a fiscal reform? the territorial dimension

This article explores the need for fiscal reform in Mexico, with a focus on addressing territorial disparities and promoting economic growth. It highlights the growing disparities between regions, the ineffectiveness of conventional policies and governance, and the threats to Mexico's competitiveness and cohesion. The article also discusses key territorial challenges and potential resources, such as concentration and dispersion, urban and rural development, and the cross-border dimension. It emphasizes the importance of adopting a territorial approach and the need for long-term vision and political commitment for regional policy and fiscal reform.

edgerly
Download Presentation

Why Mexico needs a fiscal reform? the territorial dimension

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Why Mexico needs a fiscal reform? the territorial dimension Paris, 26 March 2007

  2. Globalisation / Decentralisation • Growing disparities between regions • Ineffectiveness of conventional policies and governance Does this sounds like Mexico?

  3. Territorial disparities in OECD Countries (gdp per capita 94-2000)

  4. 4% Czech Rep. 3% Hungary 2% Australia Finland Denmark Mexico 1% Norway Regional Disparity Italy Austria Spain 0% Portugal UK Slovak Rep. France Japan Belgium US -1% Netherlands Canada Greece -2% Germany -3% .5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% Growth Economic Growth and Regional Disparities

  5. Adopting a ‘territorial approach’ ? factors of national growth are strongly localised promoting national growth requires improving the use of these factors within regions regional policies an example of what NOT to do…

  6. 1971 1996 When spending forgets the ‘regional dimension’: the case of Italy

  7. MEXICO: fiscal reform can’t ignore the regional dimension Individual and territorial disparities + unused potential > Threats to Mexico’s competitiveness and cohesion 32 % 70 %

  8. 3 key territorial challenges …and potential resources Concentration Dispersion Urban development challenges Ruraldevelopment challenges + cross-border dimension

  9. Federal Government Federal District State of Mexico State of Hidalgo Delegaciones Municipalities Municipalities Non-Governmental actors Metro-urban dimension: the case of the ZMVM metropolitan commissions… • do / can actors co-operate? • cost…63/66

  10. Rural dimension • Rural Mexico not synonymous with decline • …nor is synonymous with agriculture What is the spending strategy?

  11. Cross-border dimension: Mesoamerica Tampico Central and Northern Mexico North America North America Tuxpan Europe • Strategic geo-political location PUEBLA XPUJIL Chetumal Villahermosa Coataacoalcos Flores BELMOPAN San Pedro Sula Sto. Tomas La Ceiba GUATEMALA North America TEGUCIGALPA Quetzal SAN SALVADOR Key Pacific Corridor Inter-oceanic corridors Caribbean tourism corridor SE Mexico highway expansion Cutuco MANAGUA Asia Europe and South America SAN JOSÉ Limón South America PANAMÁ South America

  12. Territorial approach: rethinking multi-level governance Federal Regional Local Upper Horizontal co-ordination Mechanisms Vertical co-ordination Local horizontal co-ordination • Objetcive: • Finding the right mix of knowledge/responsibilities/resources

  13. Key issues • need to tackle the disparities issue • fiscal reform crucial for regional policy • regional policy can support fiscal reform long-term vision, political commitment are key

More Related