Introduction to CAME and its Financial Status
The Consejo de Asistencia al Microemprendedor (CAME), a Sociedad Financiera Popular (Sofipo), has been formally revoked of its authorization to operate. The process for its liquidation has now commenced, as announced by the Comisión Nacional Bancaria y de Valores (CNBV).
Background on CAME
CAME, established 16 years ago, aimed to increase financial inclusion by providing services to underserved economic sectors and population segments. However, it has become one of many cases where similar issues have arisen.
Financial Challenges Faced by CAME
CAME experienced significant capital loss, placing it in the lowest Nivel de Capitalización (NICAP) category, indicating critical financial insolvency. By December 2024, CAME served over 1.37 million clients, ranking it as the ninth-largest entity in terms of user numbers.
Impact on Ahorradores (Savers)
The CNBV’s intervention on June 9, due to financial insolvency, affected approximately 1.3 million savers. Of these, around 14,000 savers—about 1% of the total—held deposits exceeding the Prosofipo coverage limit of 25,000 UDIS, which is equivalent to roughly 212,000 pesos. These savers will lose the excess amount.
Regulatory Failings and Consequences
The CNBV’s delayed intervention allowed CAME’s financial deterioration to worsen over two to three years before action was taken. Factors contributing to CAME’s crisis include poor management, alleged misappropriation of funds, and insufficient supervision by the CNBV.
- Regulatory Failings: The CNBV’s lack of effective supervision and timely intervention allowed CAME’s financial issues to escalate.
- CAME’s Irregularities: CAME engaged in various irregularities, including lack of transparency, inadequate financial reporting, accounting discrepancies, insufficient anti-money laundering measures, unauthorized closing of operations, promising high returns, and potential deceptive practices.
- Financial Insolvency: CAME’s financial insolvency was a primary factor leading to its revocation and liquidation.
Broader Implications for Sofipos and Financial Regulation
CAME’s case is one of many revoked authorizations for Sofipos by the CNBV. This pattern suggests a need to review and strengthen regulations for these intermediaries to prevent fraud against savers.
Additional Context: Proposed Tax Increase
Tax Implications: The Instituto Mexicano de Ejecutivos de Finanzas (IMEF) warns that a proposed increase in the tax rate on financial instruments’ interest from 0.5% to 0.9% will affect both the wealthy and low-income individuals.
Impact on Informal Workers and Low-Wage Earners
Approximately 48 million informal workers and 15 million low-wage formal workers will be affected by the tax increase on financial instrument interests. These groups cannot recover the tax burden since they do not file annual tax declarations, according to IMEF president Gabriela Gutiérrez Mora.
