HSBC Doing business in Mexico

32
Banking in Mexico
The National Banking and
Securities Commission
(Comisión Nacional Bancaria
y de Valores CNBV) establishes
operating and accounting
rules for banks. The Ministry
of Finance, the CNBV and the
Central Bank are the principal
regulators in Mexico.
Foreign participation in the
financial sector is increasing,
and the flow of foreign capital
has reinvigorated the banking
system in Mexico.
Types of bank accounts;
• Individuals debit account.
• Corporate debit account.
• Credit for Industry and SMEs
Credit rating simple.
• Credit revolving.
• Mortgages receivables.
• Automotive Dealers.
• Credit to Equipment or
Fixed Assets.
• Credit to Working Capital
(variable or fixed rate).
• Corporate credit card.
• Financial Leasing.
Ability to access local
financing (e.g. local lending)
The Mexican government
in conjunction with private
sector facilitated the access
to local financing in order to
improve relations with the
international investors for
setting up a business, invest
in development of new core
business, and renovation of
equipment and technology.
Additionally, Mexico has a large
list of Free Trade Agreements
in order to obtain cost reduction
in the investment initiatives.
Development banks provide
credit to priority sectors,
including agriculture, fishing,
importing and exporting,
industrial development, public
works and tourism. Additionally,
development banks provide
technical support.
One of the key issues in
accessing local financing
is the timing and extensive
requirements of the banks. In
some cases this issue is key
to deterring investment from
foreign investors. Different
government and private
organisations exist to support
the process.