Mexico's Senate Approves Controversial Judicial Overhaul

Mexico's Senate approved a significant judicial reform early Wednesday that will elect judges by popular vote, a move feared to undermine the rule of law and harm the economy. The reform, proposed by President Lopez Obrador, passed the lower house and now awaits final approval. The reform has drawn criticism from trading partners and market concerns, while opposition lawmakers accuse the ruling party of unethical maneuvers.

In a pivotal move, Mexico's Senate granted general approval to a transformative judicial reform early Wednesday. The reform, proposed by President Andres Manuel Lopez Obrador, seeks to elect judges by popular vote—sparking fears of potential threats to the rule of law and economic stability.

Following this general approval, the Senate will review reservations from lawmakers before finalizing the overhaul. The reform, which passed the lower house last week, saw 86 senators voting in favor, against 41. Notably, Miguel Angel Yunes of the opposition PAN party defied his party to support the reform, enabling the ruling Morena party to secure the necessary two-thirds majority.

The reform has drawn criticism from Mexico's significant trading partners—the United States and Canada—over concerns it might jeopardize the USMCA trade agreement and deter investment. Market reactions have been stark, with the Mexican peso plummeting 17% since the June 2 elections, which resulted in a sweeping victory for Morena. Tensions peaked as demonstrators invaded the Senate, forcing a temporary suspension of proceedings.

Opposition lawmakers accused the ruling coalition of dubious tactics to gather votes, including detaining a senator to prevent him from voting and pressuring others with bribes, allegations Morena denies. Proponents argue the reform is crucial for a judiciary that prioritizes the public over criminal interests. Key aspects include electing over 6,500 judges, reducing the Supreme Court to nine judges with shorter terms and less stringent experience requirements.

As Claudia Sheinbaum prepares to assume office on Oct. 2, she faces the challenge of managing the consequences of this reform, which is likely to dominate her initial months in power.

(With inputs from agencies.)