In a bold move, Mexico’s president announced that the funds previously allocated to independent oversight agencies will now be redirected to increase soldiers’ pay.
This announcement by President Claudia Sheinbaum comes as part of a series of initiatives aimed at bolstering Mexico’s military, which has been gaining more influence in recent years. Previously, Mexico’s armed forces had little involvement in political and economic affairs, but that has changed significantly under the current administration and its predecessor, Andrés Manuel López Obrador.
Under the guidance of the Morena party, the military has taken on new roles, managing projects ranging from railways to airlines. However, these ventures have not all been financially successful, prompting the government to seek new funding avenues. The elimination of independent regulatory agencies is seen as a strategy to cut costs and redirect money to the military.
Critics argue that cutting these agencies might lead to a lack of transparency and potential favoritism, which has raised concerns among foreign investors and business leaders. Despite the criticism, Sheinbaum defends the move as a necessary measure to enhance governmental efficiency, especially regarding information requests and energy market regulation.
Recently, Mexico’s Senate approved a controversial move to levy a $42 immigration fee on cruise ship passengers, much of which will also funnel into military coffers. This has drawn backlash from the tourism sector, worried about the potential impact on the lucrative cruise industry that relies heavily on passenger influx.
The push to consolidate power and resources under the military continues as the government faces budget deficits fueled by ambitious infrastructure projects. The Maya Train, for instance, has struggled to meet ridership expectations, carrying only a fraction of the predicted number of passengers.
To encourage more use of the Maya Train, the government has introduced a package tour deal, involving discounted flights via the military-operated Mexicana airline, and departures from the Felipe Angeles Airport, another military-run enterprise. Despite some initiatives reaching financial stability, many others require additional funding, thus explaining the recent financial maneuvers.
As Mexico continues to navigate these economic challenges, the ruling party seems determined to sustain its military-backed projects, reshuffling budgetary priorities to support long-term goals.
President Sheinbaum’s decision to channel funds toward the military marks a notable shift in Mexico’s governance, reflecting an era where the armed forces play a central role in both economic and political spheres.
Source: Apnews
