Mexico City Government presents welfare economic recovery plan

On September 2nd, the Head of Government of Mexico City, Claudia Sheinbaum Pardo, presented at a press conference the Mexico City Welfare Economic Reactivation Plan, which has as main objective to recover more than 220 thousand jobs that were lost in the capital of the country due to the SARS-CoV-2 virus pandemic.

The Plan, which was presented jointly with the private initiative, contemplates an investment of more than 180 billion pesos between public and private investment, and aims to create 300 thousand direct jobs between 2020 and 2021.

The Plan is divided into 10 areas, through which it is planned to reactivate Mexico City’s economy:

1. Direct government support that includes loans to entrepreneurs, scholarships for students, support for unemployed people, among others.

2. Public investment with which it is intended to create jobs through public works projects, such as construction of schools, hospitals, road works, modernization of public transportation, reconstruction of housing and rescue of green areas.

3. Private construction projects which aim to create jobs through private initiative construction works of which 59 projects will be launched before the end of the year.

4. Revitalization of the historic center through public and private projects that aim to create more than 13 thousand direct jobs. Among the projects are the expansion of sidewalks, renovation and leveling of pavements and the placement of vegetation and trees.

5. Vallejo i initiative through which, with an investment of 25 million pesos, it is planned to create the Vallejo-i Center for Technological Development and Innovation, a space that will bring together public, private and social entities for the creation of solutions to the city’s problems and industry challenges.

6. Promotion of safe tourism to promote the image of hotels, restaurants, museums, tourist transportation, theaters and other establishments, which have progressively opened their doors with certain capacity and health rules, in order to provide certainty and confidence to international travelers about the destinations they visit.

7. Digitalization, simplification and accessible credits jointly with Nacional Financiera to provide various support to small and medium enterprises, including stores and hotels. Similarly, and in conjunction with the Federal Mortgage Society (Sociedad Hipotecaria Federal), financing will be granted to SOFOMES, real estate developers and companies participating in reconstruction projects.

8. Strategic projects with private investment consisting mainly of road works that favor mobility in Mexico City, including projects to connect with the new Santa Lucia airport and the Chapultepec fair renovation project.

9. Project for the use of urban and construction waste by virtue of which plants will be established for the use of urban and construction waste that will allow for savings or mitigate the cost of final disposal and allow for the sustainable use of the waste.

10. Temporary employment program “Improving the city, our home” which will serve as a support program for the recovery of public space under which activities will be carried out to remove graffiti, care for green areas and cleaning in parks, forests, subway stations, public squares, under bridges, schools, among others.

If you have any questions or require advice in relation to the above, please do not hesitate to contact any of our partners or associates.

Yours sincerely,

Cannizzo, Ortiz y Asociados, S.C.