Overview and Key Players
The Government of Mexico City and BBVA have created a private trust worth 400 million pesos to finance infrastructure projects leading up to the 2026 FIFA World Cup. This financial arrangement allows Mexico City to allocate resources without counting them as public debt, according to the Secretaría de Hacienda y Crédito Público (SHCP) guidelines.
Trust Details and Disbursements
BBVA, acting as the trustee, designed an attractive structure for private investors. The Mexico City government has committed to a five-year repayment plan.
- The trust includes two disbursements: 2,500 million pesos in July 2025 and 1,500 million pesos in January 2026.
- These funds will exclusively support strategic projects related to the sports event, which have already been presented by Mayor Clara Brugada.
Context and Background
In May, Juan Pablo de Botton, Head of Administration and Finance for Mexico City, announced the allocation of 6,000 million pesos this year for infrastructure projects tied to the 2026 World Cup. These funds would be raised through new taxes or debt acquisition.
De Botton explained that the infrastructure projects would be financed using a structure built upon the Fondo Mixto de Promoción Turística, diverting funds from mere advertising to permanent infrastructure instead.
Key Questions and Answers
- What is the purpose of this trust? The primary goal is to finance crucial infrastructure projects for the 2026 FIFA World Cup without increasing public debt.
- Who are the main parties involved? The Government of Mexico City and BBVA have collaborated to establish this private trust.
- How will the funds be disbursed? The trust includes two disbursements: 2,500 million pesos in July 2025 and 1,500 million pesos in January 2026.
- What projects will benefit from these funds? The allocated resources will support strategic projects directly related to the 2026 FIFA World Cup, as presented by Mayor Clara Brugada.
