First female president Claudia Sheinbaum inherits tough economic challenges

On Tuesday, Claudia Sheinbaum will be sworn in as Mexico’s first female president, taking office as she is expected to tackle organized crime violence and the deep budget deficit in Mexico’s second-largest economy. Latin America.

Sheinbaum, a 62-year-old scientist and former mayor of Mexico City, will begin her six-year term focusing on allaying investor concerns stemming from a judicial reform enacted by outgoing President Andres Manuel Lopez Obrador. Policy experts predict that its immediate action will focus on creating a stable and investment-friendly policy environment.

Alberto Ramos of Goldman Sachs stressed that maintaining fiscal discipline, strengthening public security and safeguarding key institutions like state energy company Pemex will be crucial for market sentiment and sovereign debt ratings. The upcoming US presidential election and its potential impact on tariffs could further influence market volatility.

(With input from agencies.)