Introduction
The rule of law is a governance principle where all members of society are equally subject to legal codes and processes, meaning respect for the legal system. This principle is directly related to national economic development. Given the recent election of judges and magistrates, it’s timely to reflect on an urgent need: the consolidation of specialized financial courts.
Success Story: Puebla State
A successful case to be replicated nationally is that of Puebla State, where a specialized financial court operates. Since its implementation, the results have been evident, demonstrating greater efficiency in resolving credit operation-related conflicts, collections, and guarantees. These courts have also allowed judges with technical knowledge to address issues that might otherwise be resolved using general or outdated criteria.
Why Are Specialized Financial Courts Necessary?
Financial disputes are not simple; they require a high level of technicality, involve complex contracts, specialized legal instruments, and constantly evolving regulatory frameworks. Leaving these cases to civil or commercial courts slows down processes, increases the cost of justice, and generates insecurity for investors and debtors alike.
Impact on Credit Costs
When banks grant credit, one of their primary risks is not recovering the money if the debtor fails to pay. If the system is slow, expensive, or unpredictable, banks perceive a high risk of default and must increase interest rates to compensate. However, if specialized financial courts existed in each federal entity, with expert judges and fast, predictable processes, debt recovery efficiency would improve, reducing legal and litigation costs. This results in cheaper and more accessible credit, especially for small businesses and individuals without perfect banking histories.
Proposed Actions
To capitalize on the renewal of the Judicial Power, we must institutionalize and expand this vision. From the Mexican Financial Institutions Union, we have decided to create a subcommittee for Strengthening Financial Justice, proposing three lines of action:
- Promote local legislation for the creation of specialized financial courts with clear competencies and trained judicial personnel.
- Continuously train judges and staff on financial and technological matters, as the credit ecosystem is increasingly linked to digital tools, fintechs, and disruptive financing models.
- Establish dialogue tables between the Judicial Power, financial authorities, and sector representatives to build a justice system that addresses the real challenges of the financial market.
Benefits of Specialized Financial Courts
Specialized courts understand the complexity of various financial products like credits, mortgages, and hedges. They prevent political or discretionary conflicts and foster confidence for more institutions like Fintech, Sofomes, and digital banks to enter the market. This leads to increased competition, lower credit prices, improved conditions, and a better risk rating for the national financial system, reducing interest rates in the medium term.
Conclusion
In today’s cautious economic environment, access to credit for micro, small, and medium-sized enterprises (MSMEs) and sustained expansion of productive financing would be crucial for recovery and growth. Here, investing in specialized justice becomes a key success factor.
Key Questions and Answers
- What are specialized financial courts? Specialized financial courts are judicial bodies with expertise in resolving complex financial disputes, ensuring efficient and predictable resolution processes.
- Why are they necessary? Financial disputes require a high level of technicality and involve constantly evolving regulatory frameworks. Specialized courts prevent conflicts, reduce costs, and foster confidence in the financial system.
- What are the benefits of specialized financial courts? They improve debt recovery efficiency, lower credit costs, increase competition, and enhance the national financial system’s risk rating.
- How can we establish specialized financial courts? By promoting local legislation, continuously training judges and staff, and fostering dialogue between the Judicial Power, financial authorities, and sector representatives.
