Nuevo León Economy

Mexico Nuevo Leon

Posting growth of 4.26% in 2015, Nuevo León remains well above the national average of 2.53%, with construction, transport, and financial services and insurance displaying the strongest levels of growth. The 2016 US election results, though, have cast some uncertainty over the future of US-Mexico trade relations. While the US is Nuevo León’s chief trading partner, the state has set its sights on ensuring long-term growth through a variety of initiatives. This includes supporting the mining sector, investing in infrastructure – especially transport and energy – and boosting productivity and competitiveness through investment in research and development, and innovation. Reforms at the federal level are already beginning to open up a variety of markets for private sector participation in the energy industry, with some movement becoming visible in gas and electricity generation, especially in the areas of combined cycle and renewables. Additionally, while the state government is making strides towards balancing the fiscal situation, this has limited its ability to funnel public investment into key projects, increasing the importance of attracting further private investment to move forward with development plans. This chapter features interviews with Fernando Turner Dávila, Secretary of Economy and Labour, State of Nuevo León; and Salvador Alva, President, Tecnológico de Monterrey.