Connect to share and comment

Mexico postpones financial reform presentation in political row

PlacardEnlarge
(Globalpost/GlobalPost)

MEXICO CITY (Reuters) - The planned presentation on Tuesday of a reform of Mexico's banking laws has been suspended due to disagreements among the main political parties, President Enrique Pena Nieto's office said in a statement.

Pena Nieto had been negotiating the banking overhaul under a pact he forged with leaders of the opposition to work together on major economic reforms, but cracks in the agreement have appeared due to a political dispute over election funding.

The opposition conservative National Action Party, known as PAN, said its leader Gustavo Madero would not attend the presentation after accusing Pena Nieto's Institutional Revolutionary Party of using funds from the Social Development Ministry to help its chances in local elections in the state of Veracruz.

The main leftist grouping, the Party of the Democratic Revolution, later supported the PAN in the row, prompting the president's office to suspend Tuesday's presentation in an attempt to resolve their differences.

"President Pena Nieto has taken the decision to temporarily suspend public activities related to the Pact for Mexico, to open a space for frank dialogue that allows disagreements to be overcome and strengthen the pact," the statement said.

Since Pena Nieto unveiled it days after taking office in December, the Pact for Mexico has formed the foundation of his government's reform efforts, including a shake-up of the education system and the telecommunications industry.

In a radio interview Tuesday morning, Mexican Finance Minister Luis Videgaray said the financial reform bill should be introduced "in the next few days."

(Reporting by David Alire Garcia and Dave Graham; Editing by Bill Trott)

http://www.globalpost.com/dispatch/news/thomson-reuters/130423/mexico-postpones-financial-reform-presentation-political-row