| | |  Editorials | Issues | February 2009 
Mexico's Calderon Raps Billionaire Slim on Economy
 Noel Randewich & Armando Tovar - Reuters
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| | In this file photo, Carlos Slim speaks during a panel discussion at the Clinton Global Initiative Annual Meeting, Thursday, Sept. 27, 2007, in New York. The New York Times Co. says it has approved a $250 million investment by the Mexican telecommunications billionaire. (AP/Jason DeCrow) | |
Mexico City - Mexican President Felipe Calderon took a swipe at billionaire Carlos Slim this week, saying people who have benefited most should give back during hard times, after the magnate warned of dire economic trouble.
Calderon's government has been slow to acknowledge the U.S. economic slump is pushing Mexico toward recession and Slim upset the government this week by warning Mexico is lurching towards a deep recession and mass unemployment.
"We are all obliged to support Mexico, particularly in these difficult times, and especially those who benefited most from this great nation," said Calderon, whose popularity will be tested in mid-term congressional elections in July.
Slim, ranked the world's second-richest man, was born to a Lebanese immigrant and made millions buying up struggling companies and turning them into profitable cash cows.
Mexico's economy is expected to shrink around 1 percent this year because of a slump in U.S. demand for manufactured exports like cars and refrigerators.
Hoping to limit the effect of the U.S. recession, Calderon has frozen fuel prices and freed up funds to help factories avoid layoffs, as well as other measures.
Slim built his fortune with dominant Mexican telephone operator Telmex (TELMEXL.MX) (TMX.N), which he bought from the government in the 1990s and turned into one of Latin America's most successful companies.
Government officials have accused Slim of exaggerating the depth of the economic drop-off. Labor Minister Javier Lozano challenged Slim on Tuesday to guarantee that no workers would lose their jobs at Telmex or America Movil (AMXL.MX) (AMX.N), the leading cellphone operator that he also controls.
Mexico's finance ministry forecasts the economy will not grow in 2009, although officials have said they will probably further reduce that outlook.
Slim is often accused of stifling competition in Mexico and retarding the country's growth through his dominance of the telecom industry.
Hurt by the economic slowdown and a violent drug war, support for Calderon's National Action Party, or PAN, is slipping, according to a poll released this week. |
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