What Does Mexicos Impending Return to Single-Party Governance Mean for Attracting FDI? [Video]

While the election of President Andrés Manuel López-Obrador’s endorsed candidate, Claudia Sheinbaum, on June 2 was anticipated, her victory margin of over 30 points against the main opposition candidate, Xóchitl Gálvez, and securing more than 58% of the total vote, was a surprise to many observers. Similarly, although it was not overly surprising that the president’s party, Morena, achieved a supermajority in the Chamber of Deputies with 372 out of 500 seats, most pollsters and observers did not foresee Morena coming within a few votes of achieving a supermajority in the Mexican Senate, with 83 out of 128 seats. This means López Obrador only needs to persuade two or three opposition deputies in order to obtain the necessary 86 votes for a supermajority in the Senate, thereby securing Morena’s control of Mexico’s entire federal government.[1]

While Mexico faces a potential return to single-party governance, its ability to attract foreign direct …