Ramsay McDonald 2.0. Fantastic.
I'll say. What a disappointment.
Were AMLO the leader of a developed country I think your point would be fairer - as it is, I think he’s right to be cautious of issuing large amounts of debt that will be snapped up by foreign investors, given that these same investors will want their pound of fiscal flesh at some point down the line. A pound of fiscal flesh that the ratings agencies will be only to happy to give them justification for on the grounds that AMLO has ‘failed to make structural reforms’ and ‘presided over an unsustainable expansion of the debt, deficit and debt to GDP ratio’. Given the unhappy history of both Mexico specifically and the developing world generally with the bond markets I think a cautious stance is justifiable, if not exactly ideal in the present situation.
