“In April, the government laid out new proposals implementing regulations to its congress that will dictate how it plans to open up its oil and gas resources for international private investment. There are more key dates in the timeline towards eventual implementation. The biggest is a special session of Congress planned for mid-June, at which time Congress will debate and vote on the regulations that have been put forth. A simple majority of 51% is required for passage. Regulations will lay out the specifics on bidding rounds, contracts, tax structures, etc. ,” said Accuvest.
Accuvest notes that if energy reform in Mexico materializes as hoped and has the anticipated effect of creating new jobs, Latin America’s second-largest economy could land a credit rating upgrade. Standard & Poor’s rates Mexico BBB+, better than the sovereign ratings of Brazil, India and Russia. However, EWW has no energy sector exposure. [Loving LatAm ETFs Again]
iShares MSCI Mexico Capped ETF
Tom Lydon’s clients own shares of EEM.