New tax plan to help Mexico’s poor southern region

Global Business

New tax plan to help Mexico's poor southern region

Mexico wants to make its southern areas more economically viable with the help of a new tax plan, but the question is whether the government will be able to invest what’s needed to bring prosperity in the face of chronic poverty.

Mexican President Enrique Peña Nieto has big plans for Mexico’s southern region which is an area long plagued by the highest poverty rates in the country.

With help from the World Bank, the plan would streamline regulations and offer businesses tax breaks and telecommunications projects. The legislation still needs approval from lawmakers and would not go into effect until 2018.

With no guarantees, local artisans remained skeptical. Despite the government’s good intentions, they worry the president’s plan could fall flat.

CCTV’s Martin Markovits reports.
Follow Martin Markovits on Twitter @MartinMarkovits

New tax plan to help Mexico\'s poor southern region

New tax plan to help Mexico\'s poor southern region

Mexico wants to make its southern areas more economically viable with the help of a new tax plan. But the question is whether the government will be able to invest what's needed to bring prosperity in the face of chronic poverty. CCTV's Martin Markovits reports from Mexico.


Eric Farnsworth on Mexico’s economy
CCTV America’s Michelle Makori spoke to Eric Farnsworth. He’s the vice president of the Council of the Americas.

Eric Farnsworth on Mexico's economy

Eric Farnsworth on Mexico's economy

For more on Mexico's economy, CCTV America's Michelle Makori spoke to Eric Farnsworth. He's the vice president of Council of the Americas.