IMF国际货币组织全球-Mexico_Technical-Assistance-Report_81页_2mb

MEXICO: Public Investment Management Assessment Summary

Core Content

This report, prepared by the International Monetary Fund (IMF) in May 2019, presents a comprehensive assessment of Mexico's public investment management (PIM) system. It evaluates the institutional design and effectiveness of 15 key PIM institutions across the planning, allocation, and implementation phases. The assessment is based on a Public Investment Management Assessment (PIMA) framework, and it outlines a set of high and medium priority reforms to improve the efficiency and effectiveness of public investment in Mexico.

Mexico has a population of 129 million and faces large and diverse infrastructure needs. While successive governments have prioritized infrastructure in their National Development Plans and National Infrastructure Programs, public investment has not kept pace with the needs. Over the past 15 years, public investment in Mexico has been below the average for Emerging Market Economies (EME) and Latin American Countries (LAC), with an average of 4.7% of GDP compared to 7.1% for EME and 6% for LAC. Despite this, Mexico's public capital stock remains relatively high, especially compared to OECD countries, due to high investment in the 1990s and the operation of numerous public corporations (PCs).

The report highlights the need to improve public investment efficiency, which is currently 40% lower than the most efficient countries with similar levels of public capital stock per capita. While there have been improvements in perceived infrastructure quality, access to physical infrastructure, particularly roads, remains a challenge.

Main Findings

• Institutional Design and Effectiveness: Most institutions in Mexico scored as medium strength and effectiveness in the PIMA framework. However, some key areas, such as coordination between entities, medium-term budgeting, and maintenance funding, scored lower.
• Fiscal Framework: The medium-term fiscal framework (MTFF) lacks a debt target or limit, and the escape clause in the Fiscal Responsibility Law (FRL) is frequently used.
• Planning and Allocation: National and sectoral planning frameworks exist but do not effectively guide investment planning. Multi-year budgeting and budget comprehensiveness are limited, with capital and current spending decisions not well integrated.
• Implementation and Procurement: While procurement procedures are legally set up to promote competition, their implementation is inconsistent. Many non-major projects are not competitively procured due to the use of exemption clauses.
• Maintenance and Asset Management: Maintenance funding is not standardized, and asset management practices are weak, particularly in terms of valuation and depreciation.

Key Recommendations

High Priority Reforms

1. Strengthen Fiscal Discipline

   • Improve the medium-term fiscal framework (MTFF) by introducing a debt target and limiting the use of the escape clause to exceptional circumstances.
   • Include more information on fiscal strategy and medium-term fiscal parameters in the Pre-Criteria report.
   • Establish independent oversight of fiscal planning and macro-fiscal projections.

2. Enhance National and Sector Strategies

   • Prepare national and sector plans within a realistic medium-term resource framework.
   • Focus on a limited number of high-priority strategic objectives that can be realistically achieved.
   • Link strategic objectives to investment project allocations in the rolling medium-term budget framework.
   • Review national and sector plans at the mid-point to reflect changes in economic and policy circumstances.

3. Strengthen Medium-Term Budget Planning

   • Introduce a rolling medium-term budget framework (MTBF) for both capital and current expenditures.
   • Develop top-down medium-term ceilings by ministry at the beginning of the budget preparation process.
   • Train SHCP and ministry staff on the development of the results framework for investment projects.

4. Improve Coordination Between Federal and Subnational Governments

   • Consider establishing a joint federal and state investment coordination committee.
   • Require subnational governments accessing federal funds to provide annual reports on fiscal risks.
   • Ensure SHCP investment systems (SEFIR, RFT, Modulo Cartera) interact to provide a comprehensive overview of federal resources transferred to states.

5. Develop a Standard Methodology for Maintenance Funding

   • Require agencies to establish and submit program-appropriate maintenance standards to SHCP.
   • Regularly survey capital stock to determine maintenance needs and funding requirements.
   • Expand and regularly update infrastructure asset registers to support maintenance planning.

6. Promote Competitive Tendering and Procurement Culture

   • Reform public procurement procedures to promote open and competitive practices.
   • Implement a training program for procurement officials to foster a pro-competitive culture.
   • Consolidate federal public procurement legislation into a single Public Procurement Law.
   • Harmonize legal frameworks across levels of government.

Medium Priority Reforms

• Increase the comprehensiveness of public investment project information in the project pipeline register.
• Develop a system to track and report on project cost over/under-runs and implementation delays.
• Systematically conduct ex-post reviews for major projects.
• Improve agencies' capacity to plan and implement projects effectively by providing commitment ceilings for the full fiscal year and requiring implementation plans prior to congressional budget approval.
• Enhance the monitoring of public assets by integrating valuation mechanisms with government accounting practices.

Conclusion

The assessment concludes that improving public investment efficiency is critical for meeting infrastructure needs while maintaining sound fiscal policies. Strengthening institutional design and effectiveness, particularly in planning, allocation, and implementation, will help maximize the returns from public investment. The report provides a detailed action plan for short and medium-term reforms to enhance PIM in Mexico.