Regulatory improvement is also a government mission: CEESP

Through the regulatory improvement that contemplates the simplification of procedures, electronic operations and lower costs in the opening of a company, the United States and Mexico point towards the integration of production value chains in the North American region and the development of poles of investment to compete in international markets, said Bruce Abrams, director of the United States Agency for Development (USAID, for its acronym in English).

At the signing of the memorandum of understanding between the Center for Economic Studies of the Private Sector (CEESP) and the Municipality of Tlajomulco de Zúñiga, within the framework of the project “Competitive Municipalities: Intelligent Regulation and Business Commitment”, the director of the US Agency said that US financial support is aimed at creating a friendly business climate in Mexico, with less corruption, lower start-up costs, and support for small and medium-sized businesses to grow.

In turn, Carlos Hurtado, director of CEESP, warned that regulatory improvement is not only a task for the private sector, but also involves governments.

“When there are simple and transparent regulatory frameworks that allow starting a company without obstacles, public finances are supported and the legal and patrimonial security of workers, employees and clients, especially consumers, is improved”, he pointed out.

With the inclusion of the Municipality of Tlajomulco de Zúñiga in the “Competitive Municipalities” project, there are 15 local governments participating in the search to promote a more competitive business climate that drives economic growth and job creation.

According to the National Survey of Regulatory Quality and Government Impact on Companies (ENCRIGE 2020), 64.7% of the companies in the state of Jalisco considered that the regulatory framework – carrying out procedures and dealing with licenses, permits and government inspections – represented an obstacle for the achievement of your business goals.

“The percentage of companies with this perception is much higher than that registered at the national level with 28.2%. In this context, as at the state level, Tlajomulco de Zúñiga has significant room for action to strengthen its regulatory framework and practices, as well as more agile and expeditious procedures and services,” said Bruce Abrams.

The municipal president of Tlajomulco, Salvador Zamora, assured that a better regulatory environment facilitates business, reducing the spaces for corruption in procedures and services, which generate additional costs for businessmen and citizens.