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Mexico

Mexico

General information on development cooperation

The Mexican Ministry of Foreign Affairs has coordinated development cooperation projects in an institutionalized way for many decades – mainly in Central America and the Caribbean.

Mexico’s role in the development cooperation agenda has gained new impetus recently, mainly in the context of global debates on the new international aid architecture and the concurrently increasing focus on “new actors” in international development cooperation. In Mexico, these developments have been accompanied by a clear alignment with international commitments, such as the Sustainable Development Goals (SDGs) of the 2030 Agenda for Sustainable Development, the Busan Partnership Agreement and the Addis Ababa Action Agenda. More importantly, the Mexican government is strengthening its institutional framework to better manage Mexican international development cooperation activities.

In April 2011, the Mexican Law for International Development Cooperation (LCID) was promulgated, effectively creating a complex and integral development cooperation system that provides the legal and institutional framework necessary to manage, coordinate and follow up Mexico’s development cooperation activities, taking into account its dual nature as both a provider and a recipient of cooperation.

LCID created a structured Mexican cooperation system, consisting of five pillars:

  1. The LCID itself, as the legal framework for the implementation of cooperation activities;

  2. The Mexican Agency for International Development Cooperation (AMEXCID), created in 2011, formed by five Directorates-General, which has technical and administrative autonomy and is in charge of coordinating, managing and implementing Mexico’s development cooperation policy at the federal level;

  3. The Programme for International Development Cooperation (PROCID) for 2014-2018 is the basis for the planning and implementation of development cooperation actions and was integrated into the inputs of the different Mexican federal level institutions that actively participate in development cooperation;

  4. The National Trust Fund for International Development Cooperation (FONCID), is the financial mechanism that contributes to a more effective management of cooperation resources and facilitates multistakeholder collaboration among different actors. FONCID attracts private sector flows by a tax deductibility, and

  5. The National Registry for International Development Cooperation, aimed at integrating a comprehensive database of all federal level actions and contributions of development cooperation, whether as a recipient or as a provider (RENCID).

AMEXCID continues consolidating and strengthening its institutional design to manage international development cooperation activities (both as a donor and as a recipient) more efficiently.

Mexico asserts its geographical priorities in the countries in Latin America, and particularly in Central America and the Caribbean. Mexico cooperates through bilateral, triangular and regional mechanisms. In 2016, AMEXCID coordinated the implementation of 326 projects, of which 75% were directed towards Latin America and the Caribbean Countries. In this region, Mexico has focused on capacity development in agriculture, education, government, civil society, environment, and health, as well as infrastructure development. In addition to the bilateral cooperation, Mexico has invested in regional initiatives such as the Mesoamerican Integration and Development Project, with projects aimed at contributing to the connectivity and economic growth of the region. With the Association of Caribbean States, Mexico is also collaborating to develop resilience and capacity for risk management, transportation, among others. For many of these initiatives, AMEXCID has been able to articulate expertise and resources in multistakeholder associations.

In this context, Mexico promotes innovative schemes of cooperation to enhance its effects with the overarching goal of contributing to sustainable development. According to the National Registry of Cooperation for Development (RENCID), the international cooperation provided by Mexico in 2014 reached 288,600 million USD. AMEXCID has a particular interest in engaging other actors of development into Mexico´s ICD activities; therefore, six Technical Councils were installed to build a partnership with civil society, academia, local governments, and private sector and opinion leaders of development.

AMEXCID has also coordinated actions to connect international development partners with national priorities. Among Mexico´s most dynamic partners are France, Germany, Japan, Spain, United States, the agencies and programs of the UN System and development banks on a diverse range of issues and mechanisms.

Aid for Trade Strategy

Mexico has accumulated an extensive experience in multilateral, regional and bilateral trade negotiations. With 12 free trade agreements (FTAs) that encompass 44 countries, Mexico ranks high on the scale of bilateral and regional FTAs in the world. Therefore, Mexico’s AfT activities have traditionally been focused on sharing the expertise with third countries.

Most of this technical cooperation is provided under the umbrella of the Mesoamerica Integration and Development Project, a regional cooperation initiative of ten countries that focuses on nine areas to promote development and welfare.

Mexico has also channeled concessionary funds to infrastructure projects in Central America and the Caribbean, through the Infrastructure Fund for Mesoamerican and Caribbean Countries (Yucatan Fund), which contribute to tackling trade bottlenecks. This will have more relevance in the near future.

As stated in the Addis Ababa Action Agenda, aid for trade can play a major role. Mexico supports aid for trade on developing countries, in particular, least developed countries, including through the Enhanced Integrated Framework. An increasing proportion of aid for trade going to least developed countries should be provided according to development cooperation effectiveness principles.

Agencies

Principal official agency responsible for TCB assistance to developing countries

Mexican Agency for International Development Cooperation (AMEXCID)
Contact details

Tel: +52 55 3686 5100

Physical Address
Ministry of Foreign Affairs
The Directorate General for Technical and Scientific Cooperation (DGCTC)
Ministry of Foreign Affairs/AMEXCID
The Directorate General of Mesoamerica Integration and Development Project (DGPIDM)
Ministry of Foreign Affairs/AMEXCID

Ministry of Foreign Affairs
Juárez 20, Centro, Cuauhtémoc, 06010
Mexico City, Mexico
Description

The Mexican Agency for International Development Cooperation (AMEXCID) was established in 2011 as a Deconcentrated Body of the Mexican Ministry of Foreign Affairs, holding technical and administrative autonomy and is in charge of coordinating Mexico’s development cooperation both as a provider and a recipient. The Agency is in an early stage of consolidation.

The Directorate-General for the Mesoamerica Project, which is part of AMEXCID, deals with most of the trade-related infrastructure projects in Central America and the Caribbean.

Other government and official agencies with responsibilities directly relevant to TCB

Ministry of Economy
Contact details

Tel: +52 55 5729 9158

Physical Address
The Directorate General for Asia, Oceania and Multilateral Organizations
Ministry of Economy
Paseo de la Reforma 296, Colonia Juárez, Cuauhtémoc, 06600
Mexico City, Mexico
Description

The Ministry of Economy, in charge of trade policy, supplies Mexico’s trade-related technical cooperation. It coordinates its trade-related technical policies and programmes with the Directorate-General for Technical and Scientific Cooperation (DGCTC) at the Ministry of Foreign Affairs. This coordination on trade-related technical cooperation with DGCTC is currently being enhanced by the LCID and the AMEXCID.

Selected TCB programmes and initiatives in this guide

• Supporting multilateral, regional and bilateral trade negotiations
The Programme for International Development Cooperation
Competitiveness and Innovation Program Mexico-European Union (PROCEI) (2012-2016)
European and Latin American Business Services and Innovation - ELAN Network (January 2017-January 2018)
Enterprise Europe Network– EEN (2011-2018)
Confederation of European Retired Experts (2016-2018)
Low Carbon Business Action in Mexico (2016-2018)
Trade Facilitation Office Canada (TFO) (2016-2017)
Triangular Cooperation Project on Trade Facilitation and Competitiveness (AMEXCID - USAID)
Enabling Trade: Unlocking the Potential of Mexico and Vietnam (WEF Report)
National Service of Foreign Trade Information (SNICE)
Activities carried out during 2015
Activities carried out during 2016
Activities carried out during 2017
eLAC2019 initiative
OECD Ministerial Meeting on Digital Economy
International events to share Mexican experience
International workshops to enhance Mexico´s capacities
Infrastructure Fund for Mesoamerican and Caribbean Countries (Yucatan Fund)
Mesoamerican Development Project
The empowerment of women and youth
TCB cooperation initiatives with UN/international agencies and bilateral partners

There are several efforts aimed at stimulating industrial, and trade activities. Two good examples of this innovative collaboration are the projects with Japan and South Korea.

In 2016 Japan, AMEXCID, and the National College of Technical Professional Education (CONALEP) launched the automotive industry professional career program in the states of Aguascalientes, Guanajuato, and Querétaro. After the completion of the program, students receive training in line with the needs of the automotive industry.

The Korea Development Institute (KDI) conducted diagnostic missions in Mexico City, Chihuahua, Colima, and the State of Mexico to identify needs of Mexican institutions. The goal is to develop projects in the field of techno parks or industrial parks and promote the small and medium-sized entrepreneurship education.

At the horizontal scheme, a Joint Cooperation Funds with Chile and Uruguay were established to promote actions on competitiveness, public administration, culture, and environment.

In 2016, a total of 36 triangular projects, with Chile, Germany, Japan, Korea, Netherlands, Singapore, Spain, Switzerland, United States, United Kingdom and Uruguay and multilateral organizations as partners, were implemented: 8 in Latin America and the Caribbean; 18 in Central America and the Caribbean; 9 in South America and 1 in Africa. These projects focused on the environment, agriculture health, education, civil protection, etc.

In 2015, the Fourth Mesoamerican Forum for SMEs was held in the context of the agreement between the Mesoamerican Project and the Ibero-American General Secretariat (SEGIB). The Forum provided a platform for a high-level dialogue to develop regional strategies to strengthen financial services for entrepreneurship. Participants agreed on a short- and medium-term strategic plan to reinforce this important economic sector in the region.

As the Addis Ababa Action Agenda reaffirmed there is a necessity of promoting a universal, rules-based, open, transparent, predictable, inclusive and non-discriminatory and equitable multilateral trading system under the World Trade Organization (WTO), as well as meaningful trade liberalization. Such a model of trade system encourages long-term investments in productive capacities. Mexico has welcomed the work carried out by the Expert Group on Trade Financing. Mexico commits to creating market incentives to expand affordable WTO-compatible trade finance and to increase the availability of trade credit, guarantees, insurance, factoring, letters of credit and other innovative financial instruments in LDCs, MICs, and SIDs, especially for SMEs.

Mexico supports greater coherence between the regional trade agreements and the multilateral trading system to promote inclusive growth and sustainable development. Regional integration can serve as an essential catalyst to reduce trade barriers, implement policy reforms and enable companies, including micro, small and medium-sized enterprises, to integrate into regional and global value chains.

Mexico recognizes that complementary actions at the national level, domestic enabling environments and policies are needed to strengthen the potential of trade for inclusive growth and sustainable development. Through both bilateral and multilateral channels, Mexico commits to support capacity-building activities in particular in the least developed countries, to benefit from opportunities in international trade and investment agreements.