As the constitutional reforms passed in 2013 start to have an impact on the Mexican economy, construction activity is poised to grow. In recent years many of the most relevant sectors have been characterised by a cautious approach, caused primarily by preoccupations with the last presidential elections as well as the anticipation of regulatory changes across the board. That said, the energy, telecoms and homebuilding sectors are showing a return to a positive investment dynamic. This is reflected…
Construction & Real Estate
From The Report: Mexico 2015
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As the recent constitutional reforms start to have an impact on the Mexican economy, construction activity is poised to grow. Total investment in the construction sector reached $148bn in 2014, according to the Mexican Chamber of Construction, of which 75% was accounted for by private investment. Though construction continues to be a volatile activity, the sector remains a key component of the Mexican economy, accounting for 8.1% of GDP in 2014. Meanwhile, a growing population and urban development in key cities across the country has put housing development at the forefront of government policy. The 2013 housing crisis, which saw the collapse of three of the biggest homebuilders in Mexico, has seen the government rethink subsidy allocation and other incentives, a move set to help revive the housing sector and reduce the country’s housing deficit, currently estimated at 15.3m homes.
This chapter features an interview with Fernando González Olivieri, CEO, Cemex.