Sunday, 21 July, 2019

Mexico Finance Minister Urzua quits, Herrera named successor

President of Mexico Andres Manuel Lopez Obrador President of Mexico Andres Manuel Lopez Obrador
Patty Aguilar | 11 July, 2019, 12:00

Mexico's Finance Minister Carlos Urzua resigned on Tuesday, blasting the government of President Andres Manuel Lopez Obrador for imposing on the ministry officials "with no knowledge" of government finances.

"Differences on economic issues, there were many", said political moderate Urzua in a scathing letter posted on Twitter.

The Mexican peso fell over 1.3% on the news.

"Some of those because this administration has made public policy decisions without enough support".

"I am convinced that any economic policy must be implemented based on evidence, being careful about the various effects that it may have and free of all extremism, be it right-wing or left-wing", Urzua said.

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But he said it must be accompanied by assurances that any more changes won't affect the timeline of the case. To now risk a slowdown by changing lawyers with no explanation is unwarranted, he said.

Urzua has been finance minister since Obrador was elected in December 2018.

Well known to investors and seen as a competent economic manager, Herrera now has the task of reviving economic growth while meeting a 1 percent primary budget surplus, kickstarting flagging investment and fending off downgrades from ratings agencies anxious about indebted state-oil company Pemex.

Herrera, who appeared with Lopez Obrador in the video, said that Mexico is a country of enormous resources but also great contrasts.

Urzua's commitment to fiscal discipline was seen as a bright spot in Lopez Obrador's administration, which has rattled investor confidence with abrupt moves against business interests in major infrastructure projects.

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