Mexico Plans More Help for Pemex But Limited Covid Spending
- Seeking to cut state oil giant’s 2021 tax burden, Herrera says
- Government sees current austerity providing path for recovery
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Mexico is preparing a significant tax break for its state-owned oil firm while the constitution blocks it from taking on debt to increase social spending during the pandemic, Finance Minister Arturo Herrera said in an interview.
Lowering the state’s demands on Pemex, its biggest taxpayer, could help the oil giant reorder its finances as it struggles with a $110.3 billion debt load, sinking production, and some of the highest tax obligations of any oil company in the world.