LatAmOil: Mexican government offers support to Pemex
Jennifer DeLay for NewsBase 23 February 2021
Mexico’s government is offering additional fiscal support to Pemex, the national oil company (NOC), in the form of a stimulus package that includes around $3.5bn in tax breaks and a capital boost of $1.3-1.6bn. Its plan complements a set of earlier concessions designed to reduce Pemex’s profit-sharing duties in 2020 and 2021.
News of the stimulus helped the company’s euro- and dollar-denominated bonds gain momentum last week. In related news, market experts told Bloomberg that they expected the Mexican government to continue supporting Pemex despite its massive debt load.
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