In a recent panel discussion at the 89th Banking Convention in Cancun, Altagracia Gómez, the coordinator of the Advisory Council for Regional Economic Development and Business Relocation, emphasized the alarming statistic that 78% of small and medium enterprises (SMEs) in Mexico do not survive beyond two years. This statistic represents a significant challenge in fostering a more robust economic environment for SMEs. Gómez noted that before formalizing such companies, a primary focus should be on ensuring their longevity, which she argues is contingent on addressing various systemic issues that hinder their establishment and growth.

During her remarks, Gómez pointed out the bureaucratic obstacles that plague SMEs, highlighting the irony that securing a digital signature and completing tax data for the SAT (Mexico's tax authority) often takes longer than the lifespan of the businesses themselves. Such regulatory delays impose additional burdens on small enterprises. To alleviate these pressures, she identified deregulation as a fundamental pillar that could substantially improve the survival rates of SMEs, suggesting that reducing 50% of the existing administrative procedures could increase their lifespan by up to 66%, primarily due to reduced operational costs associated with administrative compliance.

The discussion underscores the broader implications for economic development in Mexico, as the survival of SMEs is critical to job creation and economic growth. Addressing the challenges faced by these enterprises not only supports their viability but also fosters an environment conducive to increased investment and development in the country's economy. Gómez's insights call for immediate attention to regulatory reforms that can empower SMEs to thrive longer in Mexico's competitive landscape.