Published: Thu, July 11, 2019
Worldwide | By Isabel Fisher

Mexican finance chief abruptly resigns, sending peso tumbling

Mexican finance chief abruptly resigns, sending peso tumbling

Mexican President Andres Manuel Lopez Obrador said on Wednesday that former Finance Minister Carlos Urzua, who resigned on Tuesday, had differences with the president's chief of staff and businessman Alfonso Romo, among other issues.

The Mexican peso fell over 2% on the news and the benchmark index slid nearly 1.5%.

"However, during my administration, the above convictions were not shared", said Urzua, who occupied the post since December 1, when the current administration began.

Lopez Obrador quickly promoted Deputy Finance Minister Arturo Herrera to the top job. Herrera is well known to investors and seen as a competent economic manager.

"It is precisely in the area of inequalities where we have to work", said Herrera.

"But in light of the unusual content of Urzua's resignation letter there is out there the lingering question of who is ultimately in charge of running economic policy", Ramos said.

The Minister of Finance and public credit of Mexico Carlos Ursua filed a petition of resignation.

Urzua underlined that public policy decisions were made "without sufficient support" under Obrador's left-wing regime.

Investors have anxious about Lopez Obrador's policy direction since he canceled a major airport project before taking office, and the government has clashed with businesses on a number of occasions. This was announced on Tuesday, the President of the Latin American countries, Andres Manuel Lopez Obrador.

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