An update on the planned judicial reform – Commerzbank

Friday brought progress on judicial reform planned by the Mexican governing coalition (MORENA). As a reminder, incumbent President Andrés Manuel López Obrador (AMLO) has long been planning judicial reform, one of the most important points being the direct election of all judges by the people, notes Tatha Ghose, FX strategist at Commerzbank.

Judicial reform could sing MXN

“These efforts fell short of the 2/3 majority needed to change the constitution, but since the last election in early June, that majority is within reach. And the ruling alliance is adamant that it will get the missing votes. At this moment we must be ready for the implementation of the reform.”

“The proposal that has now been tabled makes a number of changes to the original proposal – the coalition government points out that it has accepted some of the criticism and made over 100 changes. One of the most important proposed changes is that the election of judges will now take place in stages, the first part probably next year, the second part in 2027.”

|The proposals do not change the fact that we criticize the basic intention of this reform. We have our doubts, which is why we continue to see judicial reform as negative for the peso.”