Reuters
July 3, 2000

MEXICO CITY -- The following is a summary of planned policies in a number of key areas of Mexico's Vicente Fox of the center-right opposition National Action Party (PAN) party, who triumphed in Sunday's presidential elections, beating out Francisco Labastida of the Institutional Revolutionary Party (PRI).

• Agriculture: Vowed to improve farming program Procampo, which provides subsides to small farmers. Said he would decentralize the Agriculture Ministry and the National Water Commission so they would be better equipped to alleviate farming crises like droughts.

• Economy: Pledged sustained growth of 7 percent annually by the second half of his six-year term. Vowed to reduce inflation to U.S. levels, currently about 3 percent, from the rate of just below 10 percent expected in 2000. Said he would eliminate the budget deficit by 2004 through robust economic expansion. Has talked of granting income tax exemptions of up to 10 years for new businesses for the poorer regions of the country.

• Energy: Promised fervently not to privatize state oil monopoly Petroleos Mexicanos (Pemex), the world's fifth-largest oil company. Has said he will modernize and streamline the behemoth which has a lock on Mexican oil and gas exploration, production and sales, in order to improve efficiency and raise salaries for its 130,000 workers. Has called for more private capital in electricity and petrochemicals sectors.

• Education: Has said he would double education funding and talked of an improved Pemex providing more funds for schools. Vowed to keep public education secular and free of charge and guarantee that all Mexicans have access to education.

• Foreign Policy: Said he will apply "new agenda" to U.S.-Mexican relations, which includes support of the North American Free Trade Agreement (NAFTA) and taking advantage of its benefits. Expected to maintain new free trade agreement with the European Union that went into effect July 1 and will be phased through 2007. Vowed to continue cooperation with United States in fight against drug trafficking.

• Indigenous Rights: Promised to restart peace talks, stalled since 1996, with the Zapatista rebels in southern state of Chiapas. Said would reduce a Mexican military presence in the troubled southern region from some 40,000 troops

• Social Programs/Welfare: Vowed not to reduce social programs despite move to eliminate budget shortfall by 2004.

• Taxes: Pledged to improve tax collection by putting black market employment on government books and by fighting evasion.

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