Foreign Direct Investment (FDI) in the mining sector in
Mexico fell 20 percent during 2014, compared to the previous year, from $2.767 billion to $2.215.2 billion, according to figures released by Ministry of Economy.
The injection of foreign capital into the mining sector accounted for 9.8 percent of total FDI recorded last year. José Almodóvar, leader partner of the mining sector of PWC explained that falling metal prices and rising fiscal policy in
Mexico caused a redistribution of global investment.
"Part of the budget that investors had destined for
Mexico was affected by rising tax rates, but there was a shift of investment at the end of the day--it seems that the investment has not declined just been redistributed," said Almodóvar.
The representative of the global consulting firm estimated the global mining activity has suffered an impairment in investment around 10 percent, however, capital is flowing to more attractive destinations such as Chile or Peru.