Behave and ‘Think of your mothers,’ AMLO urges Tamaulipas crime gangs

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September 9, 2019

Finance Secretary Herrera, center, delivers the budget to Deputies Laura Rojas and Mario Delgado.

Spending on social welfare programs, security and the state oil company is a priority in the 2020 budget, said Finance Secretary Arturo Herrera on Sunday.

Herrera delivered the 2020 Economic Package to the lower house of Congress, declaring that it is a budget based on fiscal discipline that will generate macroeconomic stability and financial certainty.

“We believe that it is a realistic package and we want it to be perceived that way by markets,” the finance secretary told lawmakers.

The package outlines total spending of 6.05 trillion pesos (US $310 billion), a 4% increase compared to the 2019 budget.

Herrera forecast economic growth of between 0.6% and 1.2% this year and a range of 1.5% to 2.5% for 2020.

The government is targeting a primary fiscal surplus of 0.7% of GDP in 2020, a figure 0.6% lower than the surplus forecast in a preliminary budget forecast sent to Congress in April.

Herrera said that about 60% of the budget is allocated to fixed spending including payments to local governments and pensions, while the remaining 40% will mainly go to “three main destinations: welfare, security and . . . fiscal support for Pemex.”

The secretary said that spending on welfare is intended to reduce income inequality, noting that almost half of all Mexicans live in poverty.

“The levels of income and inequality that are seen in the south of the country are very different from those seen in the center and north of the country. Therefore . . . to address those gaps . . . we’re placing significant emphasis on programs associated with social well-being,” Herrera said.

The budget proposes funding of 257 billion pesos for eight social programs, including the youth employment and senior citizen pension schemes.

Just under 59.2 billion pesos is earmarked for spending on “security and citizen safety,” a 6.5% increase over the 2019 budget, while the army and navy are to get combined funding of around 127.5 billion pesos.

The majority of the former amount is expected to be allocated to the National Guard. The new security force was formally inaugurated on June 30 and deployed to 150 regions across the country in July but the government intends to expand coverage to 266 regions.

Security Secretary Alfonso Durazo said previously that he expected the 2020 budget to provide some 56 billion pesos in funding for the new security force, which has been tasked with not only combating record high levels of insecurity but also stemming the flow of undocumented migrants to the Mexico-United States border.

Herrera described insecurity as a problem that “hurts Mexican families” and one that has to be “attacked head-on.”

For Pemex, the budget earmarks 523.4 billion pesos (US $26.8 billion), a 9% increase compared to 2019 funding.

Herrera highlighted that the beleaguered state-run company, whose oil production has been declining for 14 years, will receive 86 billion pesos in extra support including a cash injection of 46 billion pesos.

The secretary stressed that the budget doesn’t call for taxes to be raised nor for the creation of any new ones. However, the government will aim to increase revenue by cracking down on tax evasion, among other measures.

Herrera noted that the global economy is slowing but said that monetary policy changes will help to stimulate the economy.

The central bank cut interest rates to 8% in August, citing slowing economic growth and lower inflation. Herrera said that the government expects rates to fall to 7.1% in 2020.

The 2020 Economic Package, the government’s second budget, anticipates that Mexican crude will sell for an average of US $49 per barrel in 2020, oil production will be 1.95 million barrels per day at the end of next year and a greenback will buy on average 20 pesos, which is slightly above the current rate of about 19.5.

Alfonso Ramírez Cuellar, president of the budget committee in the lower house of Congress, praised the budget for its “fiscal discipline and responsibility in spending.”

However, he said that the committee he leads will not be a rubber stamp, stating “I think there needs to be a greater effort in income generation.”

Alberto Ramos, chief Latin America economist at Goldman Sachs, said the package is “overall a relatively fair budget” but added that “the assumptions on growth and oil production are definitely on the optimistic side.

“The key question for investors and markets will be whether the administration is ultimately strongly committed to deliver the 0.7% of GDP primary fiscal target or not,” he added.

Source: El Economista (sp), Reuters (en)

Enchilada lovers can get their fill at Iztapalapa’s 17th annual festival

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September 7, 2019

Fill up on enchiladas in Iztapalapa, Mexico City, later this month.

The 17^th annual Iztapalapa Enchilada Festival will take place from September 20 to 29 at the Macroplaza Cuitláhuac, offering visitors the opportunity to try hundreds of varieties of enchiladas.

The festival will feature the first ever enchilada contest, which will have two sections: one for professionals and another for amateurs. Winners will receive cash prizes.

Iztapalapa is the fifth-most-visited of Mexico City’s 16 boroughs, receiving more than seven million tourists per year. With the Enchilada Festival, Iztapalapa expects to attract more than 300,000 visitors.

Jaime Ortega Zaldívar, the head of sponsorship for the festival, said that he has asked the Mexico City government to recognize the enchilada as part of the heritage of Iztapalapa, noting that after the borough created the largest enchilada in the world in 2010, the dish is now associated with it.

Source: Milenio (sp)

Ex-cabinet secretary Robles says she has no money for her defense

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September 7, 2019

Rosario Robles: short on funds to pay lawyers.

Former cabinet secretary Rosario Robles, currently in preventative prison on charges of involvement in a multi-billion-peso embezzlement scheme, claims she has no money to pay for her defense.

The law firms Hernández Barros and Oléa & Oléa said in a statement issued on Friday that Robles – who served as both secretary of social development and secretary of agrarian development and urban planning in the government of former president Enrique Peña Nieto – informed them that due to her “precarious economic situation” she is no longer able to “cover the payment of our professional fees.

“. . . Accordingly, the members of the law firms Hernández Barros and Oléa & Oléa. . . and [Rosario] Robles Berlanga have together decided to conclude our professional relationship . . .” the statement said.

Lawyer Julio Hernández Barros, who agreed to continue as Robles’s sole lawyer until she finds a new legal team, told the newspaper El Universal that the decision to part ways was made mutually and on good terms.

He said that Robles had been forced to ask family and friends to fund her defense as a result of her financial difficulties.

A trip by lawyers to Washington D.C. in late August to file a complaint with the Inter-American Commission on Human Rights against Judge Felipe de Jesús Delgadillo Padierna on the grounds that he acted illegally and arbitrarily in ordering Robles to stand trial and remain in custody was paid for by the ex-secretary’s relatives and friends, Hernández said.

“. . . Due to the economic situation of Rosario Robles it is impossible to continue defending her but we’re not going to leave her on her own because I’ll lead [the defense] until she finds a new lawyer,” he added.

The lawyer also said that his 63-year-old client – jailed on August 13 on charges related to the so-called master fraud embezzlement scheme – is a “little bit unwell” and “desperate” to get out of prison.

“. . . Her blood pressure goes up and down and she would prefer to be out [of prison] to await her trial in freedom,” Hernández said.

If found guilty on charges that, through omission, she allowed over 5 billion pesos (US $256 million) to be misappropriated from the two secretariats she headed, Robles faces a prison term of up to 23 years.

The ex-secretary is the highest profile member of the Peña Nieto government to have been arrested on corruption charges.

Another top official in the previous administration, former Pemex CEO Emilio Lozoya, is also accused of corruption but authorities have failed to apprehend him and he is believed to have fled to Europe.

Source: El Universal (sp), Excélsior (sp)

Police take down propane gas theft ring

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September 7, 2019

One of 42 tanker truck seized in México state. — One of 42 tanker trucks seized in México state.

Authorities have captured six members of a gang dedicated to the theft and sale of propane gas in México state.

The investigation and operation was carried out by the Federal Police and the Attorney General’s Office with support from Pemex.

After an investigation, a judge issued a search warrant for three buildings in the municipality of Ecatepec and one in Texcoco, identified as the “Don Manuel” boarding house in Los Reyes Zacatepec. Police say that the buildings were used to store propane stolen from the Cactus-Guadalajara pipeline.

Federal authorities have requested custody of the boarding house from the municipality of Texcoco while the investigation proceeds.

Authorities also seized 42 tanker trucks and 222,000 liters of propane.

Source: Milenio (sp)

Gasoline shortage at more than 100 stations in Puebla

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September 7, 2019

Out of gas. One of the Puebla stations that had to close.

Gasoline shortages have affected about 120 filling stations in Puebla during the past week, says an industry association.

The Gas Station Owners’ Association of Puebla and Tlaxcala (GUEPT) said the supply of fuel from Pemex has been irregular since August 30.

The association said it has been told that the disruption has been caused by power cuts at Pemex’s storage and distribution center in Puebla.

As a consequence, tanker truck drivers have been unable to fill up and make their regular deliveries. About 25 gas stations were forced to close on Thursday because they completely ran out of both regular and premium fuel.

Power supply at the storage center was restored at 11:00am on Friday but according to GUEPT president Luz María Jiménez Almazán, it will be some time until gas stations’ reserves are replenished.

“They told us that electricity supply was reestablished but the tanker truck backlog is already 300 trips and that’s affecting the entire state of Puebla,” she said.

Jiménez said the association informed Pemex and government departments about the situation but received no response.

“We haven’t received a single response from Pemex or the secretariats of Energy and the Interior and consequently we filed a complaint with [consumer protection agency] Profeco,” she said.

Jiménez called on the Puebla government to intervene to ensure that full service at gas stations is reestablished as soon as possible and adverse effects on the economy and consumers are avoided.

The association president explained that gasoline shortages of varying severity have plagued Puebla throughout the year.

“The shortage of gasoline has been intermittent, sometimes it’s very serious, sometimes less serious but it’s an undeniable problem throughout the whole year.”

Source: Animal Político (sp)

AMLO celebrates sweeping away the corruption of the past 30 years

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September 7, 2019

López Obrador declares 'zero corruption.'

President López Obrador has declared that there is “zero corruption” in the federal government as a result of his dedication to “sweeping away” what has developed over the past 30 years.

Speaking at an event on Friday at the Matehuala Rural Hospital in San Luis Potosí, López Obrador railed against his predecessors, declaring that the past five presidents from Carlos Salinas de Gortari to Enrique Peña Nieto used their time in office to loot the country’s wealth.

On the same day as he denounced the excessive spending of the Peña Nieto government on supplies for the presidential plane, the leftist leader accused past presidents of reckless extravagance, claiming that they squandered public money on things such as luxury toilet paper and overseas junkets.

López Obrador also took aim at past governments’ “forgiveness” of the tax debt of large companies and the nation’s wealthy, charging that public coffers were deprived of 400 billion pesos (US $20.5 billion) in revenue during the administrations of Peña Nieto and Felipe Calderón alone.

“A famous bank didn’t pay taxes while farmers, doctors, nurses and workers did,” the president said.

Under his administration, tax debt forgiveness has been eradicated, López Obrador declared using a colorful colloquialism to make his point.

“There is zero corruption” in the cabinet and government departments, the president said, adding that citizens now need to follow his example and put an end to – or “sweep away” – the “cancer” that afflicts Mexico more broadly.

López Obrador cited his government’s crackdown on fuel theft as one of the big challenges it inherited from past administrations, which he claimed tacitly approved the crime and even factored in the revenue losses it caused.

The president claimed that on his watch, petroleum theft has declined 95% from 80,000 barrels per day to 4,000.

As a result, 50 billion pesos (US $2.6 billion) that would have been lost had theft levels remained the same will flow into government coffers, López Obrador said, pointing out that the amount is higher than the entire annual budget of the state of San Luis Potosí.

Source: Milenio (sp)

Army sends 200 troops to Tepalcatepec, Michoacán

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September 7, 2019

Security forces in Tepacaltepec, Michoacán. — Security forces in Tepacaltepec.

Seven days after nine people were killed in confrontations between the Jalisco New Generation Cartel (CJNG) and citizens of Tepalcatepec, Michoacán, army troops have been deployed to prevent further violence in the municipality.

Michoacán Government Secretary Carlos Hernández Tello said that the deployment is being coordinated between the three levels of government.

“We are in permanent dialogue with Mayor Felipe Martínez, supporting him and making sure that Tepalcatepec remains calm,” he said. “All levels of government are doing what’s necessary to support the efforts of the municipal government.”

The security forces have set up checkpoints around Tepalcatepec and are closely monitoring the parts of the municipality that border the state of Jalisco. They have also started intelligence work in the neighboring municipalities of Buenavista, Coalcomán and Aguililla.

Since August 30, Tepalcatepec has been the scene of a conflict between the CJNG and another armed group presumed to be led by Juan José Farías Álvarez, known as “El Abuelo,” or “The Grandfather.”

Two weeks before the clashes started, the CJNG released a video in which it spoke of a plan to attack the municipality and the “Cartel del Abuelo.”

On Thursday, around 1,000 people marched for peace in Tepalcatepec. Juana Reyes, a spokesperson for the Social Movement for Peace, asked Michoacán Governor Silvano Aureoles for proof that the self-defense group is a criminal organization led by Farías.

“If he really has proof that we are a town of criminals, or a cartel led by this person, he should present them,” she said. “We’re willing to face justice, but not to face gossip or rumors.”

The mayor has also denied that Farías is involved in crime.

Source: Milenio (sp), Excélsior (sp)

Students protest ex-presidential candidate’s university posting

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September 6, 2019

UNAM students say no to last year's National Action Party presidential candidate.

Students protested at the National Autonomous University (UNAM) in Mexico City on Friday against the hiring of former presidential candidate Ricardo Anaya to teach a new political science course.

Protesters blocked access to the Faculty of Political and Social Sciences for four hours this morning, the newspaper Milenio reported. Among the signs held up by the students was one that read “nefarious people out of UNAM.”

Anaya, who represented the conservative National Action Party (PAN) in the 2018 presidential election, announced in August that he would teach a diploma course on contemporary Mexican politics at the university. It was scheduled to commence today.

Disgruntled students argued in a documented posted to social media that UNAM’s hiring of Anaya amounted to the “acceptance of the far right in our university.”

They also pointed out that the 40-year-old former lawmaker and PAN national president has been accused of money laundering and other corrupt activities.

Anaya “doesn’t just represent the most conservative power groups in Mexico but also the neoliberal technocracy that has historically attacked social conquests in favor of servility to foreign interests,” the students said.

One person who disagreed with today’s protest was political science student Adrián Salazar.

“This act affected the whole university community . . . A lot of students come from far away to study and they run into this. Besides, this group [of protesters] . . . has no tolerance for the diverse ideologies there are in the university,” he said.

Although Anaya had indicated that he would start teaching at UNAM on September 6, the Faculty of Political and Social Sciences said in a statement that he wasn’t scheduled to participate today, while the office of the ex-presidential hopeful told Milenio that he is currently in New York.

The statement also said that the members of the political science faculty are a “plural community in which individuals of the entire Mexican political spectrum collaborate.”

A range of other political figures ,including former presidential candidate, Mexico City mayor, senator and governor of Michoacán Cuauhtémoc Cardenas, will also teach parts of the new diploma course.

Source: El Financiero (sp), Milenio (sp)

Tuck into some fungus and bugs at Xochimilco’s gastronomic event

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September 6, 2019