Construction & Real Estate

As the recent constitutional reforms start to have an impact on the Mexican economy, construction activity is poised to grow. Total investment in the construction sector reached $148bn in 2014, according to the Mexican Chamber of Construction, of which 75% was accounted for by private investment. Though construction continues to be a volatile activity, the sector remains a key component of the Mexican economy, accounting for 8.1% of GDP in 2014. Meanwhile, a growing population and urban development in key cities across the country has put housing development at the forefront of government policy. The 2013 housing crisis, which saw the collapse of three of the biggest homebuilders in Mexico, has seen the government rethink subsidy allocation and other incentives, a move set to help revive the housing sector and reduce the country’s housing deficit, currently estimated at 15.3m homes.

This chapter features an interview with Fernando González Olivieri, CEO, Cemex.