Mexico has been in the news a lot recently – and not in a good way. While the shootings in Cancun are shocking and an undeniably horrible loss, I’ve also been struck by the level of frustration and anger due to rise of the price of gas.
Essentially, the Mexican government used to own the monopoly on gas production and they would set a price. Effective the 1st January 2017, the government privatised the state-owned gas company PEMEX and opened up the gas market to competition. Greater choice of brands sounds like it could be a good thing in theory; but in actuality it instigated the “gasolinazo” crisis, as the government announced that the new prices would be 20% higher than they were before. That’s to say, in the space of one day, the price of gas rose to higher than it had been in the past 20 years.