The Downfall of Mexico’s Fonden: A Tale of Inefficiency, Corruption, and Delay

Web Editor

October 24, 2025

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Introduction to Raquel Buenrostro and the Fonden

Raquel Buenrostro, Mexico’s Secretary of Anti-Corruption and Good Governance, shed light on the corruption and inefficiency that led to the demise of the Fondo para Desastres Naturales (Fonden) in 2021. Originally established in 1996, the Fonden was intended to support states and municipalities affected by natural disasters. However, over time, it became a bureaucratic, opaque mechanism plagued by delays and corruption.

Bureaucracy Hindering Disaster Response

Between 2000 and 2009, the Fonden’s rules grew increasingly complex, making it difficult to provide immediate assistance to affected populations. Buenrostro explained that it took up to 120 days to address emergencies and start reconstruction projects. To release funds, it took 42 working days: three for requesting a disaster declaration, three for the report, and over one week to assess damages.

  • API mechanism introduced in 2010 to expedite response
  • Despite API, bureaucratic delays persisted

Mismanagement and Corruption in Veracruz, Tabasco, and Beyond

Buenrostro’s office documented severe cases of mismanagement and corruption during the administrations of Vicente Fox, Felipe Calderón, and Enrique Peña Nieto.

  • Veracruz: State government failed to utilize 531.7 million pesos out of 7,411 million allocated for disaster relief
  • Tabasco: Governor Andrés Granier used 215.5 million pesos from Fonden to cover state financial deficit, without benefiting disaster victims
  • Peña Nieto’s era: Detected misuse in the Plan Nuevo Guerrero following Hurricanes Ingrid and Manuel in 2013. SEDATU contracted 445.4 million pesos despite authorization for only 120.6 million, and 30 out of 43 housing projects remained unoccupied or structurally flawed

2017 Earthquakes: Slow Reconstruction and Irregular Payments

The 2017 earthquakes exposed the Fonden’s shortcomings once again. Eighteen declarations were issued with delays of up to 20 days, and 19,804 million pesos were allocated, with 93% coming from the Fonden.

  • Only 35% of affected dwellings were supervised
  • Irregular payments for unjustified honorariums and supervision
  • Educational sector: School reconstruction took over six months; health sector: Only 28 out of 132 medical units were genuinely rebuilt
  • Private donations exceeding 5,000 million pesos channeled through Fuerza México, with no transparency in management

Fonden in an Election Year

Buenrostro pointed out that, in the 2018 election year, Fonden resources were used unusually, with 46 out of 57 disaster declarations related to heatwaves. This suggested potential political misuse of the fund.

The current emergency response model aims to eliminate intermediaries and corruption, prioritizing direct support to the population and reducing response times.

Key Questions and Answers

  • What was the Fonden? The Fondo para Desastres Naturales (Fonden) was established in 1996 to support states and municipalities affected by natural disasters.
  • Why did the Fonden fail? The Fonden became inefficient, bureaucratic, and opaque due to delays, corruption, and mismanagement.
  • What are the consequences of Fonden’s failure? Delays in disaster response, irregular payments, and unmet needs for victims of natural disasters.
  • What is the new model for emergency response? The current model prioritizes direct support to affected populations and reduces response times, aiming to eliminate intermediaries and corruption.