Mexico’s proposed higher mining royalties could block nearly $7bn in investments
The Mexican government proposed raising mining royalties under the argument that metal prices have risen in recent years.
Despite recent market volatility and exposure to low oil and commodity prices, Bank of Nova Scotia has set double-digit growth targets in four Pacific Alliance countries: Chile, Peru, Colombia, and Mexico.
Dieter Jentsch, group head of international banking at Canada’s third-largest bank, said the targets were based in part on the expectations of central bankers in those countries, all four of whom attended an investor conference Scotia hosted in Mexico City this week.
“Our growth rates are in line with what the central banks are forecasting. It has moderated from historical growth, but is at levels that will allow us to operate pretty successfully,” Jentsch said.
Scotia’s earnings from Peru — which, like Chile, is exposed to mining and commodity prices — are forecast to increase by 10% to 12%.
