Before G20 leaders, President Andrés Manuel López Obrador proposed to remove amounts and the payment of debt service to the poorest countries in the world so that they can face the global economic crisis caused by the COVID-19 pandemic.
When participating in the Virtual Summit of G20 Leaders, before Heads of State of the most important economies at the global level, the President of Mexico pointed out that it is also necessary to guarantee that middle-income countries can have access to credits with equivalent interest rates to those of developed countries.
He stressed that cooperation and mutual aid will allow all nations to overcome this painful period.
“I hope that we will be able to leave in history an example of how to deal with a global health threat and a serious economic crisis through the application of the principle of universal brotherhood.”
In his message, the head of the Executive recalled that in the strategy to face the economic crisis, Mexico did not contract debt, but the consequent loss of wealth raised the public debt of our country from 44.8 to 51.1% of the national Gross Domestic Product (GDP).
“The same has happened all over the world, the debt grew from the pandemic by an average of 20% and if we do not address this issue now, in the future it will become another threat to economic stability and social welfare. “.
President López Obrador reiterated that it was useful for Mexico to abandon the economic recipes applied during the neoliberal period, starting with discarding the strategy of indebting the people to rescue those above.
He emphasized that preference was given to the poor and the middle classes, through the provision of pensions, school scholarships, support to farmers and fishermen, as well as the expansion of loans to small businesses.
To prevent the consumption of basic necessities from falling; He pointed out that the strategy coincided with the “miracle” of the increase in remittances to the country, in turn pointed out that sales have grown.
He explained that the forecast that the crisis would have a “V” -shaped behavior is being fulfilled.
“We would fall to the bottom as happened in April, but we would come out of the hole as it has been happening,” he said.
Our second speech at the G20 Virtual Summit of Leaders was about the economic crisis and the alternatives for Mexico and the world. pic.twitter.com/onSG9hyUYB
– Andrés Manuel (@lopezobrador_) November 22, 2020