translated from Spanish: Sinaloa, credit paradise to invest, match qualifiers

In times of financial uncertainty for Mexico, the news is a breath of fresh air for our state: the three major international firms specializing in measuring credit risks agreed to place Sinaloa as the best rated state . We are talking about the agencies Fitch, Moody’s and Standard and Poor’s, the global consortiums that determine the credit capacity of public and private entities around the world. The fact that the three firms put Sinaloa at number one is a financial victory for the Quirino Ordaz Coppel administration that none of its predecessors had reached, in adverse times for the economy at the national level. Just a month ago, the same three major qualifiers diminished the prospect of debt from the federal government and Pemex.The Secretary of Administration and Finance of the State Government, Carlos Ortega Carricarte, explained that, among the factors that stand out the qualifiers to award their qualifications stand out: self-income growth, financial discipline, low level of indebtedness and strong public investment. Reality. The state treasurer was clear: public investment from the Government of the Republic collapsed. While the 2018 federal budget compared 2 billion pesos for public investment, in 2019 it declined to 10 million pesos. Result: “Much of the investment we make in the state with federal recourse is not receiving it.” Ortega referred to the cancellation of Ramo 23, whereby the state received additional resources throughout the year; in 2018 Sinaloa earned 8 billion pesos for this and other concepts as own income, but from January to June this year only 287 million have been received from the federal government. Another point mentioned by the SAF owner is that the SHCP approved about 600 projects for Sinaloa last year, but to date only three have been authorized: the hydraulic infrastructure works of the dren Urias, in Mazatlan; and the drains Bacurimí and Adolfo López Mateos, both in Culiacán, totaling 289 million pesos from the Metropolitan Fund.EL FACTOR QOC. We already know: Quirino is not a man who is left with his arms in the face of adversity. The State Treasurer reported that, so far this year, own income has increased by 4.5 per cent, which is in contrast to the fall in the Federal Share Fund.One of these measures lies in greater oversight of the e dams and natural persons in coordination with the Tax Administration System, which has allowed that, since 2017, Sinaloa has been the number one entity at the national level to obtain greater collection from this source of resources; has accounted for over a billion additional pesos to meet the financial needs of the state.« This situation has allowed financial markets and credit rating companies to see the state favourably,” said Ortega Carricarte, and set out a recent example that proves this: last week a public tender for a short-term loan of 500 million pesos, attended by six national banks. The winners were Scotiabank, with 400 million pesos, and Banamex, with the remaining 100 million, both granting a preferential rate of TIIIE + .29 points, which is the lowest awarded to Gobiernos.Es as well, friends and friends, as a skilful management of finances office manages to move forward a state like ours, even in the midst of the economic unease facing the country. Doubts? Ask a specialist. Quirino Ordaz, for example.



Original source in Spanish