OCTOBER 2006 EDITION ARCHIVE
Legal Updates
Fox Vetoes Law That Would Establish a Single Price for Books
President Fox decided to heed the council of the Mexican Federal Competition Commission (COFECO) and veto the Law for the Development of Reading and Books that had been approved by the Mexican Congress. Opinions submitted by economists and the COFECO held that the Law, which established a single price for the sale of books to the general public, would ultimately cause an increase in prices for books and reduce incentives for cutting distribution costs, which would ultimately lead to a disincentive... [Read More]The Mexican Supreme Court of Justice Holds That Local Judges, and Not Arbitral Panels, Will Determine the Validity of Arbitration Agreements
In a recent decision, the Mexican Supreme Court of Justice held that while it is possible to opt out the involvement of state courts in a legal conflict, in order to allow such conflict to be submitted to commercial arbitration, there is an exception when a court exercising jurisdiction over an action alleging nullity of the arbitral compromise declares such arbitration compromise null, ineffective or unenforceable. The reasoning of the Supreme Court is that, on one hand, one must not set aside... [Read More]The Federal Economic Competition Commission Published for Commentary by the Public a New Draft of the Regulations to the Federal Economic Competition Law
The new draft Regulations, which may be accessed at www.cfc.gob.mx, establish, among other, that the resolutions, opinions, directives and criteria of the Commission are to be disseminated on the Commission’s internet website, while general criteria must also be published in the Official Journal of the Federation. In addition, the draft provides a new regulatory framework for notices in matters concerning economic concentrations (monopolies) in such manner that not only the merging party... [Read More]Business & Politics Outlook
Felipe Calderón’s Plans
In recent days Felipe Calderón, Mexico’s President-Elect, has presented two plans seeking to define the public policy agenda for the next six year term, one of which is dubbed “100 Actions for the First 100 Days of Government” and the other, “Mexico Project 2030”. Both plans propose five grand themes: (i) Public Safety and the Rule of Law, (ii) Economic Competitiveness and Job Creation, (iii) Equal Opportunity, (iv) Sustainable Development, and (v) Effective... [Read More]Manufacturing activity increases by 7.5%
According to the National Institute of Statistics, Geography and Data (INEGI), Mexico’s manufacturing industry reported an increase of 7.5% in June 2006 as compared to the same month in 2005. In particular, the following increases were noted, as broken down by Mexican states: Sonora 27.9%, Coahuila de Zaragoza 17.7%, Aguascalientes 16.7%, Sinaloa and Yucatan 11.1% individually, Baja California 10.5%, Nuevo Leon and Querétaro 8%, each, Tlaxcala 6.8%, Puebla 6%, the state of Mexico... [Read More]Economic Indicators
Pesos/Dollar Exchange Rate
The quoted exchange rate as of October 12, 2006 was $11.02 pesos per dollar.Mexican Stock Exchange
The Mexican Stock Exchange (BMV) closed on October 10, 2006 at 22,523 points, which to date is an accumulated annual gain of 26.52%.Interest Rates
On October 12, 2006, the Average Interbank Interest Rate (TIEE) for a 28-day period was at 7.32%.Feature Website
www.felipe-calderon.org
We recommend that our readers visit the web page of Felipe Calderón, President-Elect of Mexico, at www.felipe-calderon.org, where they may find details on the action plans proposed by Mexico’s President-Elect.