Mexico's Ministry of Finance updates sovereign sustainable financing framework and adds Mexico Sustainable Taxonomy criteria

Mexico's Ministry of Finance and Public Credit published an updated Sovereign Sustainable Financing Reference Framework, replacing the 2020 version and aligning it with the National Development Plan 2025–2030. The framework sets the criteria for the federal government to raise funding in international markets via Environmental, Social and Governance (ESG) instruments, including green, social and Sustainable Development Goal-linked bonds. Eligibility criteria focus on programmes and projects that reduce social inequalities and address climate change impacts, consistent with the 2030 Agenda and Mexico’s Sustainable Finance Mobilization Strategy. The update expands eligible sustainable expenditure categories to include inequality reduction, blue and circular economy, biodiversity, and climate transition and adaptation, and for the first time links eligibility to Mexico’s Sustainable Taxonomy. The framework was externally reviewed and received Moody’s highest Second Party Opinion rating (SQS1), referencing alignment with International Capital Market Association bond principles and guidance and with green and social loan principles from the Loan Market Association, the Loan Syndications and Trading Association and the Asia Pacific Loan Market Association; the United Nations Development Programme will continue as an independent observer providing non-binding opinions on the framework and annual reports, and the Supreme Audit Institution will continue reviewing the alignment of reporting against the framework.