The approval of a new law on public-private partnerships (PPP) is a great step forward for infrastructure development in Mexico, taking PPPs beyond the bounds of traditional public procurement legislation. It is expected to promote an increase in infrastructure construction and, as a consequence, an increase in the placement of development capital certificates.
Budget limitations are affecting Mexico's ability to maintain its existing infrastructure and to undertake new projects. The country's aim is to become one of the world's most developed countries by 2030, but infrastructure is a bump in the road to success. Public-private partnerships - and effective legislation on the processes involved - may be the way to get back on track.