Mexico could face inflation worries with deregulation and rise in gas prices

Andy Uhler Jan 5, 2017
HTML EMBED:
COPY

Mexico could face inflation worries with deregulation and rise in gas prices

Andy Uhler Jan 5, 2017
HTML EMBED:
COPY

The cost of gasoline in Mexico has spiked since the start of the new year. And people there are protesting about it. That’s because President Enrique Pena Nieto’s administration deregulated the industry. The problem is that the Mexican economy is struggling and the peso is losing value.  And, the rise in gas costs could also lead to inflation. The price increase comes as Mexico is importing gas in record amounts. Refineries there are operating at 60 percent of capacity. And that gasoline is costing more because the peso is so weak. 

Click the above audio player to hear the full story.

As a nonprofit news organization, our future depends on listeners like you who believe in the power of public service journalism.

Your investment in Marketplace helps us remain paywall-free and ensures everyone has access to trustworthy, unbiased news and information, regardless of their ability to pay.

Donate today — in any amount — to become a Marketplace Investor. Now more than ever, your commitment makes a difference.