Mexico KPIs – June 2019

Mexico KPIs – June 2019

• 1.
  TRUMP’S NEW THREAT TOGLOBAL TRADE JUNE 2019 www.nuricumbo.com
• 2.
  LATIN AMERICA MONITOR
• 3.
  Credit Ratings Argentina B With NEGATIVEOutlook (14 May 2019) Source: Fitch Ratings Brazil BB- With STABLE Outlook (3 August 2018) Colombia BBB With STABLE Outlook (4 December 2018) Chile A With STABLE Outlook (5 March 2019) Mexico BBB+ With NEGATIVE Outlook (16 November 2018) Peru BBB+ With STABLE Outlook (28 March 2019)
• 4.
  $39.32 $43.32 $44.22 $0.00 $20.00 $40.00 $60.00 FebruaryMarch April Argentina Exchange Rates $3.76 $3.92 $3.92 $3.60 $3.70 $3.80 $3.90 $4.00 February March April Brazil $3,080.11 $3,188.74 $3,232.97 $3,000.00 $3,100.00 $3,200.00 $3,300.00 February March April Colombia $654.63 $679.72 $676.76 $610.00 $640.00 $670.00 $700.00 February March April Chile $19.28 $19.43 $18.95 $18.60 $18.90 $19.20 $19.50 February March April Mexico $3.30 $3.32 $3.31 $3.28 $3.30 $3.32 $3.34 February March April Peru Source: Bloomberg, 2019. *USD / PEN *USD / MXN *USD / CLP*USD / ARS *USD / BRL *USD / COP
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  Foreign Direct Investmet $11,759 $3,260 $11,857 $0 $3,000 $6,000 $9,000 $12,000 20152016 2017 Argentina $64,291 $57,999 $62,713 $0 $20,000 $40,000 $60,000 $80,000 2015 2016 2017 Brazil $11,736 $13,849 $14,518 $0 $5,000 $10,000 $15,000 $20,000 2015 2016 2017 Colombia $19,541 $11,163 $6,730 $0 $6,000 $12,000 $18,000 $24,000 2015 2016 2017 Chile $34,858 $29,755 $29,695 $0 $10,000 $20,000 $30,000 $40,000 2015 2016 2017 Mexico $8,272 $6,863 $6,769 $0 $3,000 $6,000 $9,000 2015 2016 2017 Peru *U.S. Dollars at Current Prices in Millions Source: United Nations Conference on Trade and Development, UNCTAD, 2019.
• 6.
  Competitiveness Ranking Argentina 57.986 (Ranking 56) Source:IMD Competitiveness Index 2018 Brazil 55.797 (Ranking 60) Colombia 57.357 (Ranking 58) Chile 75.107 (Ranking 35) Mexico 63.733 (Ranking 51) Peru 60.236 (Ranking 54)
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  Source: Argentina, Brazil,Colombia, Chile, Mexico and Peru Central Banks, 2019. 50.70% 54.10% 55.10% 48.00% 50.00% 52.00% 54.00% 56.00% February March April Argentina Inflation Rate 3.89% 4.58% 4.94% 0.00% 2.00% 4.00% 6.00% February March April Brazil 3.01% 3.21% 3.25% 2.88% 2.96% 3.04% 3.12% 3.20% 3.28% February March April Colombia 1.70% 2.00% 2.00% 1.40% 1.60% 1.80% 2.00% 2.20% February March April Chile 3.94% 4.00% 4.41% 0.00% 1.50% 3.00% 4.50% February March April Mexico 2.00% 2.24% 2.59% 0.00% 1.00% 2.00% 3.00% February March April Peru
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  $66,984 $72,803 $70,860 $63,000 $66,000 $69,000 $72,000 $75,000 February March April Argentina InternationalReserves $376,984 $378,448 $384,165 $370,000 $375,000 $380,000 $385,000 February March April Brazil $50,498 $51,261 $51,522 $49,000 $50,000 $51,000 $52,000 February March April Colombia $38,714 $38,710 $37,828 $37,200 $37,800 $38,400 $39,000 February March April Chile $175,646 $176,466 $176,661 $175,000 $176,000 $177,000 February March April Mexico $63,254 $63,091 $65,517 $60,000 $62,000 $64,000 $66,000 February March April Peru *Million U.S. Dollars *Million U.S. Dollars *Million U.S. Dollars *Million U.S. Dollars *Million U.S. Dollars *Million U.S. Dollars Source: Argentina, Brazil, Colombia, Chile, Mexico and Peru Central Banks, 2019.
• 9.
  34,485.80 33,466.03 29,571.36 27,000 30,000 33,000 36,000 February March April Argentina StockExchange 95,584.35 95,414.55 96,353.33 94,500 95,000 95,500 96,000 96,500 February March April Brazil 1,508.27 1,587.74 1,573.64 1,450 1,500 1,550 1,600 February March April Colombia 20,614.45 21,098.07 20,896.50 20,300 20,650 21,000 21,350 February March April Peru 42,823.80 43,281.28 44,597.32 40,500 42,000 43,500 45,000 February March April Mexico 5,287.54 5,259.41 5,187.10 5,110 5,180 5,250 5,320 February March April Chile *IPSA:IND *MEXBOL:IND *SPBLPGPT:IND *MERVAL:IND *IBOV:IND *COLCAP:IND Source: Bloomberg, 2019.
• 10.
  Transparency Index Argentina 40 (Ranking 85) Source:Corruption Perception Index by Transparency International (2018) Brazil 35 (Ranking 105) Colombia 36 (Ranking 99) Chile 67 (Ranking 27) Mexico 28 (Ranking 138) Peru 35 (Ranking 105)
• 11.
  Country Presidents Argentina President: MauricioMacri Birth: 8 February 1959 In office since: 10 December 2015 Political Party: Propuesta Republicana Brazil President: Jair Bolsonaro Birth: 21 March 1955 In office since: 1 January 2019 Political Party: PSL Colombia President: Iván Duque Márquez Birth: 1 Agosto 1976 In office since: 7 Agosto 2018 Political Party: Centro Democrático Chile President: Sebastián Piñera E. Birth: 1 December 1949 In office since: 11 March 2018 Political Party: Independent Mexico President: Andrés Manuel López O. Birth: 13 November 1953 In office since: 1 December 2018 Political Party: Morena Peru President: Martín Vizcarra Birth: 22 Marzo 1963 In office since: 23 March 2018 Political Party: Peruanos por el Kambio
• 12.
  Upcoming Elections Argentina Presidential Elections:2019 Term: 4 Years Congress: 2019 (130 Deputies, 26 Senate) Governors: 2019 (22 Governors) Brazil Presidential Elections: 2023 Term: 4 Years Congress: 2023 (513 Deputies, 54 Senate) Governors: 2023 (27 Governors) Colombia Presidential Elections: 2022 Term: 4 Years Congress: 2022 (172 Deputies, 108 Senate) Governors: 2020 (32 Governors) Chile Presidential Elections: 2022 Term: 4 Years Congress: 2022 (155 Deputies, 23 Senate) Governors: 2022 (15 Governors) Mexico Presidential Elections: 2024 Term: 6 Years Congress: 2021 (500 Deputies, 128 Senate) Governors: 2024 (President, 32 Governors) Peru Presidential Elections: 2021 Term: 5 Years Congress: 2021 (130 Congressmen) Governors: 2022 (25 Governors)
• 13.
  KNOWLEDGE CENTER
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  Featured Content Trump’s ThreatenedMexico Tariffs: Credible, Irrational, Doomed It is unclear how President Donald Trump’s announcement of new across-the-board tariffs on Mexico will achieve their stated goal of stopping illegal immigration. But they could help the president in his ongoing disputes with the U.S. Federal Reserve and China. Two maps show how every US state's economy could be affected by Trump's proposed Mexico tariffs The proposed tariffs would go into effect on June 10, and would increase by 5% every month until hitting a maximum of 25% in October — unless Mexico takes action to reduce border crossings. How Stunningly Stupid Is Trump's Tariff Threat Aimed at Mexico? Let's Count the Ways. Tariffs are taxes on Americans. Making it more expensive to import goods from Mexico is a pretty roundabout way to get Mexico to change its border policies, but it's a very direct tax increase for American businesses and consumers. Last year, Americans imported more than $346 billion in goods from Mexico, so a 25 percent tariff would amount to an $87 billion tax increase. Why Congress Cannot Allow the Trump Tariffs on Mexico to Stand This is the deepest betrayal yet of any U.S. trading partner, one that will leave a scar in U.S.-Mexico relations for years to come. No nation has endured more verbal abuse from the president than Mexico. Yet two successive Mexican governments nonetheless turned the other cheek and engaged in serious negotiations with the Trump administration to rewrite the North American Free Trade Agreement (NAFTA).
• 15.
  Latin America Update LatAm:The New Kid at the FinTech Table LatAm is not traditionally considered a popular region for FinTech developments. With major headlines being hogged by China’s FinTech giants, America’s booming VC investment and the growth of open banking in Europe, it’s not hard to see why LatAm struggles to get a look in. But is the lack of attention justified, or is this region flying under the radar? Political innovation in Latin America under threat? This week, the third Meeting for Political Innovation will take place in Mexico City, and will bring together social leaders, politicians and activists from across Latin America who will face the challenge of rethinking political innovation in the region in a context of democratic backslides, repression and inequality. Mexico is another scenario of uncertainty, in which there are few guarantees of what could really occur once AMLO’s administration has consolidated itself. How Latin American trade with UAE will be enabled by Panama Separated from the skyscrapers and sand dunes of Dubai by nearly 14,000 kilometers and a series of seemingly never-ending flights, Panama– population four million - seems like an unlikely partner for the United Arab Emirates. But amid unreducible regional markets, Panama could become the emirate’s gateway into Latin America. The importance of the region was starkly highlighted in April, when the Dubai Chamber of Commerce and Industry organised – for the first time outside the emirate – the Global Business Forum Latin America 2019. Mexico calls for Regional Development to address Immigration A U.N. commission on Monday presented a roadmap to boost economic development in three Central American nations whose poverty and violence now pushes desperate migrants to travel across Mexico to the United States. The plan calls for hefty increases in social spending, tackling corruption and improving security — as well as a hefty dose of financial support and investment, possibly from the United States. Latin America’s Banking Revolution The region’s leading banks produce some of the best numbers in the global industry, and success in retail banking – and a hard- learned approach to risk management – are core; could the growth of digital banking bring a new era of change? Throughout the region, institutions are more independent, capital levels are much higher and risk management has become more sophisticated. The Collateral Damage From the U.S.-China Trade War Extends to Latin America When the trade war between China and the United States began last year, a number of countries expected to emerge as winners. After all, if Beijing and Washington imposed tariffs on each other’s goods, it would open new markets for bystander countries not directly involved in the fray. Now, however, the escalating trade war is making everyone more anxious, even in countries that thought they stood to benefit. The fact is, a trade war of this magnitude inevitably reverberates across much of the world.
• 16.
  Other Articles How theCPA Continuing Education Game is Changing A recent experiment with advisory services personnel of a top-20 CPA firm provided a glimpse of what continuing professional development might look like in the not-too-distant future. The Future of Finance Has Arrived The pace with which finance functions are employing automation and advanced technologies is quickening, according to a new survey by senior finance executives by Grant Thornton and CFO Research. Negotiators Who Cut a Trade Deal With Trump have Advice for you Governments and companies seeking how to negotiate with President Donald Trump may want to head to Mexico City, where two of the Mexican government leaders who helped line up the Nafta-successor are opening a consulting firm. How to Lean on your Risk Manager Business risks are getting more complex and numerous every day, and finance chiefs are increasingly accountable to shareholders and directors. It’s Unanimous: Firms that ‘Know’ Bots Will Expand Their Usage Every company that’s currently using robotic process automation and aware of the key issues around it will be using more RPA before long. Six Habits fueling Smarter Risk Taking in Digital Transformations PWC’s 2019 Risk in Review Study reveals six behaviors that divide risk functions into those helping their organizations take smarter risks on their digital journeys. Companies That Do Well also Do Good Is there a link between how well companies deliver on their social mission and whether they create long-term value for shareholders?
• 17.
  WE ARE NURICUMBO+ PARTNERS
• 18.
  Our Firm ata glance We work with management in supporting special, strategic or confidential projects. Our business model allows us to bring world-class talent from Big 4 and Big Consulting, with maximum flexibility and attractive cost savings. Our practice leaders come from multinational environments. We look for long-term partnerships with each one of our clients. OUR OBJECTIVE: TO BECOME YOUR TRUSTED BUSINESS ADVISORS Key Numbers Industries • 12 PRACTICE LEADERS • 40 SENIOR CONSULTANTS • 240+ COMBINED YEARS OF EXPERIENCE • 10%+ ANNUAL GROWTH • 50+ PROJECTS PER YEAR • 6+ MONTHS AVERAGE LENGHT OF PROJECT Mexico Business Network Other Strategic Resources • MANUFACTURING • FINANCIAL SERVICES • PROFESSIONAL SERVICES • RETAIL • ADVERTISING • EDUCATION • PRIVATE EQUITY • FAMILY BUSINESS • IMEF • IMCP • COMCE • ABM • ASOFOM • AMEXCAP • CHAMBERS OF COMMERCE • CFO OF THE YEAR • AAPAUNAM • FENG • IFAC • ADN NEWS • BLOOMBERG • EL FINANCIERO • VERITAS For more information: www.nuricumbo.com
• 19.
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• 20.
  Highly-experienced and talentedteam at your service Our team can provide effective solutions to complex business problems. We can be deployed internationally for the time strictly required by your project. High-quality, highly-efficient, cost-effective talent that creates value from the very first minute. www.nuricumbo.com / [email protected] Armando Nuricumbo Jorge Pulido Miguel Amador Guillermo Lagos Former CFO Former Investor Relations Former Controller / Auditor Former CEO Jesus Bush PWC. IPG. Bombardier. RGP. 25 years of experience. Bancomer. Grupo Mexico. TD. 35 years of experience. Whirlpool. Banco Azteca. 35 years of experience. EY. Smurfit. Maxcom. Devlyn. 30 years of experience. 3M. Imperial Chemical. IMEF 30 years of experience. Alejandro Rico Tax Partner KPMG. Confies. 25 years of experience. Jose Trevino Former NAFTA Negotiator Angel Hernandez Former CFO Ingram. Dresser. TRW. 35 years of experience. Roberto Fernandez Former CIO AT&T Capital. CIT. Alta. 30 years of experience. Manuel Mora Former Latam Controller Arthur Andersen. CIT. Sony. 25 years of experience. Former CIO Evaristo Pulido Former VP Structured Finance Marisol Baca Former VP Administration CFE. BID. Real Financiera. 25 years of experience. Comexi. Comce. Cancham. 35 years of experience. PWC. Lala. Gicsa. ADO. 25 years of experience.
• 21.
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• 22.
  Internal Audit Support Formore information, please visit our website or email us at [email protected] 2 2 We can enhance your audit projects in Mexico, Latin America, or anywhere else. Talent Mobility Flexibility Capabilities Our consultants can travel in Mexico, in Latin America, or basically anywhere you need them. We have delivered audit projects in more than 25 countries around the world. Worldwide Mobility We have a multidisciplinary approach, combining specialists in internal controls, forensics, IT, business intelligence, process automation and compliance. We have an internal quality function to ensure objectives are always met. The result is a powerful combination of skills that allows us to deliver extra value in each engagement. Special Audit Capabilities Talented Senior Consultants Maximum Flexibility Our talent is available under a very flexible model. We have delivered projects that have taken 1 day, 1 month or 1 year to complete. Our rates are the best in the market. We can manage co-sourcing or out- sourcing audit initiatives. And in Latin America, we have the local knowledge and insight. We have a base of approximately 40 senior audit consultants, all of them highly trained and with rich experience in multinational environments, ready to support your audit projects. Our objective: To work with the best internal audit departments around the world to help them manage the risks and opportunities of today’s global markets.
• 23.
  We care aboutyour business priorities. Let’s talk! E-mail: [email protected] Mobile/Whatsapp: + 52 (155) 5453 6309 Skype: nuricua Twitter: @a_nuricumbo Office: Montes Urales 424 Lomas de Chapultepec, CDMX Please visit our website