Mexico Infrastructure & Sustainability Review 2019

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MSMEs PRIORITY FOR FUTURE DEVELOPMENT EDUARDO RAMÍREZ President of CMIC

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Q: What is CMIC’s perspective of the construction industry

Government agencies are joining forces to develop this

in the years to come?

planning structure that will help improve the quality of the

A: CMIC represents over 12,000 construction companies of

transport infrastructure and connectivity of the country.

all sizes across Mexico in 44 delegations. Approximately 95

Companies need certainty that they will be able to grow in the

percent of the companies affiliated with CMIC are MSMEs.

future. These companies must be able to prepare themselves,

One of the main goals of the chamber is to provide these

obtain loans and innovate according to what will happen in the

companies with the tools necessary to develop and grow.

future. All construction companies that participate in public

Micro and small-sized businesses have more difficulty growing

works provide 0.2 percent of their profits for training, which

and expanding their reach than medium and large companies.

has permitted the creation of CMIC’s training institutes.

We offer constant training to these businesses. Most of these are also extremely interested in public works, but the sector

The chamber wants to invest as much as possible in

has shown more growth through private investment.

creating specialized training and teaching institutes for the industry. There needs to be more communication between

Years ago, approximately 5 percent of GDP was destined

the different agencies, meaning the water, housing, energy,

to infrastructure development. Today, the government is

telecommunications and road infrastructure need to work

only investing 2.8 percent of the GDP, which totals MX$625

more closely together. Today, there is no planning that

billion for the construction of public infrastructure. Private

aligns the goal of making the country more competitive

works have increased in the last few years and it is predicted

through infrastructure development.

that MX$2 billion will be invested by the end of 2018. Q: What impact will MSMEs have in bridging the country’s Q: What has been the main factor holding back the

infrastructure gap?

country’s construction sector?

A: We want to work closely with local governments to

A: It is very difficult for a country to develop sustainably

continue promoting the development of MSMEs in the

without implementing the proper planning. The country

construction sector. If these companies have more work,

desperately needs a long-term planning strategy.

they can spark a value chain that will not only increase

Government priorities mean an administration generally

the value of the industry but the economic power of that

creates projects for its own political term only, leaving

area. The construction industry creates more than 6 million

the country with unfinished projects. Infrastructure

direct and 2.8 million indirect jobs in Mexico. It is a strategic

gives a country credibility in terms of productivity and

sector for the country’s growth but planning continues to

competitiveness. CMIC believes that the country needs a

be a hindrance.

National Infrastructure Council composed of academics, public and private sector players. Within this council, there

Long-term planning will allow our MSMEs to truly develop

should be a planning institute with a certain amount of

to their full potential. For many years, some municipalities

autonomy in planning, not execution, of infrastructure

acquired huge debts and now the funds they have are

projects. Most of the planning required for an infrastructure

allocated to paying off those debts. There is now a financial

project should pass through this institute.

law that dictates the requisites a government must fulfill before obtaining credit. This will help organize the country’s finances. PPPs are also a ray of hope and will help bridge

Mexican Chamber of the Construction Industry (CMIC)

the country’s infrastructure financing gap. Mexico has

represents the interests of construction companies, offering

complex problems it needs to solve, such as corruption and

services to promote a highly competitive industry at the

insecurity, but there are many business owners and citizens

forefront of innovation

who are ready to put their best foot forward.


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