IMF calls for Mexico to continue energy reform

Mexico’s incoming government should continue with the opening of the domestic energy sector that began in 2013, the IMF said in a country report published Thursday.

The international organisation cited several risks for the country, including Pemex’s financial position and investor uncertainty stemming from calls to halt or partially roll back Mexico’s energy reforms.

“The continuation of the energy sector reform and private sector participation in the gas and oil sectors are crucial to bring in much-needed investment and increase oil production and growth,” the report said. “Pemex’s autonomy should be preserved, and its financial strengthening continue.”

Referring to plans to boost domestic refining capacity by upgrading existing facilities and building a new USD 8-billion refinery, the IMF said the NOC’s financial situation should be improved further before the new administration considers investments in the refining sector.