Mexico's Judicial Reform and its Implications

President-elect Claudia Sheinbaum assured that Mexico's planned judicial reform would not breach commitments under the USMCA. The proposal, which includes electing judges through popular vote, has stirred controversy and prompted a strike by federal judiciary workers. The markets reacted, weakening the peso by over 2%.

President-elect Claudia Sheinbaum reassured on Wednesday that Mexico's planned judicial reform would not infringe on its obligations under the United States–Mexico–Canada Agreement (USMCA). Sheinbaum defended the proposal, set for a September vote, which aims to elect judges, including Supreme Court justices, through popular vote.

The contentious reform has provoked a strike by federal judiciary workers, now in its third day. They argue against the changes which have sparked market concerns and contributed to the peso's over 2% slide by midday on Wednesday.

Sheinbaum, who steps into office in October, backs the outgoing President Andres Manuel Lopez Obrador's reforms, emphasizing the necessity for judicial elections.

(With inputs from agencies.)