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Political and social risks that could impact LatAm economies

Latin American societies face a strong upheaval in political and social terms, which adds financial uncertainty for investors.

Pemex to contribute net zero to Mexican government coffers - Moody s

By Reuters Staff 1 Min Read MEXICO CITY, April 30 (Reuters) - The net contribution of Mexican state-owned oil firm Pemex to Mexico’s government coffers will be zero in the future, Moody’s analyst Ariane Ortiz-Bollin forecast on Friday. Owing to a drop in oil prices and Pemex crude production “the net contribution to the fiscal coffers will be zero” because the government will be contributing around one percentage point of GDP in support to Pemex, while Pemex will now be contributing to the government about one percentage point of GDP in revenues, said Ortiz-Bollin. “That is what we are taking into account, zero in net terms of Pemex’s contribution to the sovereign,” she said. (Reporting by Sharay Angulo)

UPDATE 2-Moody s confirms Mexico rating, says fiscal stress contained

By Reuters Staff (Adds comment from analyst in paragraph 3) April 29 (Reuters) - Ratings agency Moody’s Investors Service on Thursday confirmed Mexico’s credit rating, saying the country had contained a deterioration in its finances, and forecast a gradual recovery from the economic shock of the coronavirus pandemic. Moody’s kept Mexico’s long-term foreign currency and local currency issuer ratings at “Baa1” but also maintained a “negative” outlook citing concerns about growth and investment, plus support for state oil firm Petroleos Mexicanos (Pemex). Moody’s analyst Ariane Ortiz-Bollin later told Mexican radio show Formula Financiera that for now, it was hard to see conditions that would allow Mexico to improve its rating.

Moody s considera a Pemex como el mayor riesgo de México

Moody s considera a Pemex como el mayor riesgo de México
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