Telecommunications

Last review: November, 2024

Banobras offers interested parties information on the sector in Mexico with data from various sources in order to provide knowledge on the subject and useful elements for decision-making at the sectoral level. The content presented does not reflect the position of Banobras.

On November 14, 2024, the Mexican Government presented the new Digital Transformation and Telecommunications Agency, which is expected to start operations in January 2025. The powers of the telecommunications policy will be transferred to the Agency, which are currently part of the SICT.

The main mission will be to digitize the procedures that are currently carried out in person. Among the first actions will be the creation of Llave MX, as a digital identity mechanism, since it will contain an electronic file that will simplify procedures and guarantee a single entry to all government platforms. Meanwhile, with the National Public Technology Center, the model can be expanded to states and municipalities to generate citizen solutions.

The reason for the creation of this institution is to unify the technological capabilities of the Mexican Government for its better use, generating technological autonomy and promoting technological solutions from within the public administration.

The Agency’s work will focus on seven points:

• To make the procedures that exist in person available digitally.
• Minimize the regulatory burden on individuals and companies.
• Generate savings and opportunity for zero corruption.
• Create the Center of Attention for Well-Being (CABI), through the 079 number, which provides citizen attention 24 hours a day.
• Implement intelligence and data analysis to strengthen public capacities.
• Technological autonomy and information security.
• Internet as a right.

To meet these objectives, two organizational pillars will be implemented:

1. Digital Transformation: which will be dedicated to the simplification and digitalization of procedures with the MX Key, to the management of the new Welfare Attention Center which is the unique attention number; to the technological dictamination that will be in charge of the approval of contracts to avoid abuses, cost overruns and that resources can be reused.
2. Digital Public Infrastructure: enabling area in which software manufacturing, technological infrastructure, data centers and analysis, cybersecurity and telecommunications policy will be carried out.

The General Law of Regulatory Improvement will be replaced by the Law of Simplification and Digitalization, which contemplates the reduction of procedures, requirements and solution times.

Additionally, the following actions will be developed and implemented:

• Software Factory: to guarantee technological autonomy and generate its own developments with the help of Mexican engineers, mathematicians, mathematicians, physicists and physicists graduated from public schools.
• Public Digitalization Platform: to speed up procedures in terms of time and cost.
• The Mexican Space Program: with the objective of putting a new seasonal satellite into orbit by 2027-2028, with the support of the Ministry of Science, Humanities, Technology and Innovation (Secihti); CABI and the National Center for Public Technology.
• Federal Simplification Program: will reduce by half the more than 7,000 federal procedures and will help 80 percent of frequencies to be digitalized.
• National Investment Window: associated with the Welfare Poles, it will guarantee that the investment complies with all the procedures of the three levels of government.
• Consular Services: will reduce the number of procedures carried out by Mexicans abroad from 59 to 45 and certify that the resolution time is almost immediate.
• Federal Commission for the Protection against Sanitary Risks (Cofepris): 353 procedures will be reduced by half, with a resolution time of 54 to 20 days.
• Passport processing: the number of requirements will be reduced by half.
• Water Procedures Window
• Public Procurement System
• Agrarian Procurator’s Office and Proof of Validity of Rights.
• Digital Health Record

[1] Instituto Federal de Telecomunicaciones, Estrategia IFT 2020-2025

Decentralized entities coordinated by the SICT

• The purpose of Financial for Welfare (FINABIEN) is to provide public telegraph services, domestic and international wire transfers, financial services, radiotelegraphy, telecommunications and financing. In October 2022, by presidential decree, published in the Federal Official Gazette (DOF), Telecomm was transformed into FINABIEN.
• The mission of the a Mexican Space Agency (AEM) is to transform Mexico into a country with scientific activities and technological developments in space, oriented to meet social needs, and articulated with industrialization and service programs in frontier technologies, which contribute to increase the country’s competitiveness.

• The Telecommunications Investment Promotion Agency (PROMTEL) aims to contribute to improving the coverage and quality of internet and telephone services, supervising the installation of the Shared Network and promoting investments for telecommunications infrastructure deployment projects.

The Federal Telecommunications Institute (IFT) is an autonomous body whose purpose is the efficient development of telecommunications and broadcasting, in accordance with the provisions of the Constitution and the laws within the scope of its responsibility. It is responsible for regulating, promoting and supervising the use, development and exploitation of the radio electric spectrum, networks and the provision of telecommunications and broadcasting services (T&R) in Mexico, as well as access to infrastructure and other essential inputs, contributing to guarantee the right to information and universal access to such services. It is also the authority in matters of economic competition in the telecommunications and broadcasting sectors.

CFE Telecoms and Internet for All is a productive subsidiary of the CFE, with legal personality and its own assets, which provides telecommunications services. Its objective is to install wireless Internet throughout the country, in highways, public squares, health centers, hospitals, schools and community spaces to contribute to the fight against marginalization, the integration of depressed areas to productive activities and the closing of the digital gap with respect to opportunities for access to information and communication technologies for all people, giving priority to those who are isolated from telecommunications.

PROMTEL makes available to the public the spatial data viewer where you can see the coverage maps of the Shared Network showing the project’s coverage progress.

In terms of infrastructure, Mexico has a defined strategy that offers investors medium and long-term visibility regarding the development of projects, through a series of plans and programs of national and sectorial scope. To access the information, please consult the following documents:

Description of the hierarchy and roles of the different entities and actors involved in the sector, including how the different institutions and agencies coordinate and collaborate.

Products:

• Direct credit for infrastructure projects and public services
• Infrastructure financing through financial intermediaries
• Financial Guarantee
• Guaranteed Refinancing

Financing for States and Municipalities and Decentralized Public Organizations: The products and services we offer are designed to meet the infrastructure needs of states, municipalities and their decentralized public organizations, in order to improve the quality of life of the population and increase competitiveness.

Infrastructure is a pillar of development, which is why Banobras has innovative products and services focused on contributing to regional development through the promotion of financial mechanisms to:

Boost investment in infrastructure and public services.
Promote the financial and institutional strengthening of states, municipalities and decentralized public agencies.
To this end, Banobras has the following financing schemes:

Products:

• Simple Credit and Restructuring and/or Refinancing
• Current Account Loans

Project Development: Banobras offers services aimed at assisting public sector agencies and entities in the development of infrastructure projects.

Financial structuring of the project:

1. Elaborate and/or update studies required by the Public-Private Partnerships Law.
2. Support in the review of the bidding conditions and contract model.
3. Assist in obtaining financing for the project.
4. Assist in the registration process of the project in the portfolio of the Investment Unit of the Ministry of Finance and Public Credit (SHCP).
5. Assist in dealing with any observations made by the SHCP Investment Unit.
6. Support in the financial closing of the project.

It has a wide range of products designed to strengthen the financial structure of the infrastructure projects that the country requires, from the conception to the completion of the projects, providing the following financial instruments that make the projects more attractive for financing with private resources:

Contact: fonadin@banobras.gob.mx