cover image: Mexico’s Private Sector and Innovation for a Sustainable Future


Mexico’s Private Sector and Innovation for a Sustainable Future

29 Mar 2024

He has worked with the World Bank, the International Finance Corporation, the Inter-American Development Bank, the World Business Council for Sustainable Development and the US Agency for International Development to assist small and entrepreneurial businesses and regional development organizations with the design and implementation of innovative sustainable development initiatives. [...] This duality (the existence of two Mexicos, one modern and the other underdeveloped) … is the result of the Revolution and the development that followed it; thus, it is the source of many hopes and, at the same time, of future threats. [...] Mexico recovered from the China shock by doubling down on efficiency and quality, but the benefits have been limited to a narrow segment of regions, businesses, and formal workers in the North and Center of the country. [...] The World Bank report highlights the many factors that contribute to Mexico’s low productivity growth and disparities between the north and the south: weak institutions and rule of law; burdensome regulation and a bankruptcy regime that does not facilitate the exit of low performing firms; limited access to finance, particularly for young and small firms and for firms seeking to invest in producti. [...] The Economies of the Future The Demand Side—Limited Demand for the Right Kind of Innovation It is not the amount of innovation, as measured by conventional metrics such as R&D investment as a percentage of GDP or number of patents issued or even economic complexity, but the type of innovation that leads to sustainable growth.


Samantha Hargy

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