Mexico, a comprehensive development agenda for the new era

Contents......Page 4
Acknowledgments......Page 22
Foreword......Page 24
Acronyms......Page 28
I. Rationale and Organization......Page 34
II. Core Messages......Page 35
Consolidating Macroeconomic Gains......Page 37
Accelerating Growth through Enhanced Competitiveness......Page 41
Reducing Poverty through Human Capital Development......Page 45
Balancing Growth and Poverty Reduction with Protecting Natural Resources......Page 50
Building an Efficient, Accountable, and Transparent Government......Page 51
III. Conclusion: Putting It All Together......Page 54
Synthesis (in Spanish)......Page 56
Part I......Page 82
I. Introduction......Page 84
II. Government Solvency and Sustainable Debt......Page 85
III. Conceptual Distinctions: Explicit and Implicit (Real or Contingent) Fiscal Deficits......Page 86
IV. Recommendations......Page 87
I. Macroeconomic Overview......Page 92
II. The Financial Sector......Page 93
III. Infrastructure......Page 102
IV. Agriculture......Page 112
I. Introduction......Page 118
II. Providing Security......Page 122
III. Building Opportunities......Page 128
IV. Empowering Specific Groups......Page 144
I. Recent Developments......Page 150
II. Issues......Page 154
III. Options for the Future......Page 159
I. Rationale and Overview......Page 166
II. Decentralization: Assuring the Sustainability of a Process Already in Motion......Page 167
III. Justice: Making Reforms Work......Page 169
IV. Corruption: A Broad, Pending Agenda......Page 172
Part II: Fiscal Sustainability......Page 176
I. Introduction......Page 178
II. Macroeconomic and Financial Vulnerability......Page 181
III. Fiscal Sustainability and Opportunities to Increase Potential Growth......Page 185
IV. Fiscal and Monetary Policies: Their Role in Macroeconomic Management......Page 187
V. The Choice of an Exchange Rate System......Page 188
VI. Options with Regard to Monetary Policy Regime......Page 191
VII. Conclusions......Page 193
References......Page 194
I. Background......Page 196
II. Issues......Page 199
III. Policy Options......Page 207
IV. Conclusion......Page 209
References......Page 210
I. Background......Page 212
II. Level and Structure of Taxation in Mexico......Page 213
III. Current Policies and Options in Mexico’s Tax Regime......Page 215
IV. Administration, Collection, and Enforcement......Page 227
V. Tax Reform Implementation Strategy......Page 229
References......Page 230
I. Introduction......Page 232
II. Public Debt Management: Recent Experience in Mexico......Page 234
III. Instituto de Protección al Ahorro Bancario (IPAB)......Page 240
IV. Fideicomiso de Apoyo para el Rescate de Autopistas Concesionadas (FARAC)......Page 243
V. Proyectos de Impacto Diferido en el Registro del Gasto (PIDIREGAS)......Page 245
VII. Indexation of Domestic Debt Instruments......Page 246
VIII. Absorptive Capacity of the Domestic Debt Market......Page 247
IX. Conclusions......Page 250
Bibliography......Page 252
I. The Demographic Context to Pension Reform......Page 256
II. The Fiscal Context of Pension Reform......Page 257
III. Status of Reforms......Page 260
IV. The Future Reform Agenda......Page 261
V. IPAB Bank Recapitalization and Resolution Programs......Page 278
VI. The Regulatory Reform Program......Page 279
Growth and Competitiveness......Page 272
I. Financial Sector Objectives: Efficiency, Accessibility, and Stability......Page 274
III. Mexico’s Financial Sector Reform......Page 275
IV. Measures Adopted to Avert a Systemic Collapse of the Banking System......Page 276
VII. Supervisory and Regulatory Arrangements......Page 280
VIII. Financing to the Private Sector......Page 281
IX. Globalization and the Entry of Foreign Banks......Page 286
X. IPAB’s Liabilities and Funding Requirements......Page 288
I. Background......Page 298
II. Issues......Page 301
III. Institutional and Market Structure......Page 313
References......Page 310
II. Characteristics of Supply and Demand......Page 312
IV. Recent Performance......Page 315
V. Issues......Page 318
VI. A New Housing Policy......Page 325
VII. Conclusion......Page 332
II. The Challenges in Mexico’s Urban Development......Page 334
III. Perspectives and Key Issues......Page 347
IV. Toward an Agenda for Urban Development in Mexico......Page 350
I. Recent Developments......Page 352
II. Key Issues......Page 356
III. Options for the Future......Page 372
I. Overview......Page 380
III. Issues......Page 381
IV. Policy Options......Page 384
I. Overview......Page 390
II. Current Situation......Page 391
III. Recent Performance......Page 392
IV. Energy Demand Projections and Supply Requirements......Page 395
V. Challenges Facing the Sector......Page 398
VI. Policy Priorities and Options......Page 399
I. Overview......Page 410
II. Telecommunications......Page 411
III. Natural Gas......Page 416
IV. Urban Water and Sanitation......Page 421
V. Transport......Page 427
Poverty and Inequality......Page 440
I. Introduction......Page 442
II. Background and Issues......Page 443
III. Health System Reforms to Date......Page 458
IV. Setting the Framework for Reform: Lessons from Abroad......Page 461
V. Policy Recommendations......Page 465
VI. Conclusions......Page 478
References......Page 479
I. Background......Page 480
II. Issues......Page 484
III. Government Strategy......Page 495
IV. Options for the Future......Page 502
V. An Action Plan......Page 504
I. Introduction—Managing Social Risk in Mexico......Page 512
II. Identification and Characteristics of Mexico’s Key At-Risk Groups......Page 515
III. Mexico’s Social Protection Strategy......Page 519
IV. Looking Ahead: Enhancing Social Protection Policy in Mexico......Page 536
Bibliography......Page 541
I. Context for Reform......Page 544
II. Policy Issues and Options......Page 546
I. Current Developments......Page 570
II. Issues for Indigenous Development......Page 578
III. Options For The Future......Page 583
I. Introduction......Page 586
II. Conclusions......Page 598
III. Policy Recommendations......Page 599
References......Page 601
II. Key Findings......Page 602
III. Broad-Based Public Expenditures and Poverty......Page 609
IV. Investments in the Human Capital of the Poor......Page 618
V. Income Opportunities for the Poor......Page 631
VI. Investments in the Physical Capital of Poor Areas......Page 640
VIII. Conclusion......Page 649
A Sustainable Future......Page 650
I. Current Situation: A Changing World......Page 652
II. The Issues: What Are the Challenges for the Future?......Page 655
III. Future Development: Policy Options and Recommendations......Page 665
IV. Summary......Page 673
Summary......Page 678
I. Current Developments......Page 679
II. Issues......Page 685
III. Strategic Options for the Future......Page 692
References......Page 699
I. Current Developments......Page 702
II. Issues for Sustainable Land and Forest Management......Page 708
III. Options for the Future......Page 721
I. Background......Page 716
II. Main Sector Issues......Page 719
I. Background......Page 724
II. Issues......Page 726
III. Strategic Options and Policy Objectives......Page 728
I. Background......Page 734
II. Major Issues......Page 735
III. Strategic Options......Page 736
Accountability and the Demand for Quality Government......Page 740
I. Mexico’s Decentralization in International Perspective......Page 742
II. Pending Policy Issues......Page 744
III. Policy Options......Page 750
I. The Components of Governance......Page 754
III. Corruption: Some Observations......Page 755
IV. Recent Developments......Page 756
V. Conclusion......Page 764
I. Background......Page 766
II. Organization and Operations of the Legal-Judicial System......Page 767
III. Issues......Page 773
IV. Policy Options......Page 777
References......Page 780