Maya Train Budget Cut Significantly by Mexican President

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Mexico’s Maya Train project has faced a substantial budget cut as President Claudia Sheinbaum reallocates funding to other priorities. While the Maya Train’s budget has been slashed by 70.7%, from 125.9 billion pesos ($6.11 billion) to 36.9 billion pesos ($1.79 billion), at least one other rail project has seen a significant increase in funding.

Maya Train’s Budget Reduction

The tourism-oriented Maya Train, a 966-mile route on the Yucatan Peninsula, was a key project of former President Andrés Manuel López Obrador. Sheinbaum had previously committed to completing the project and participated in the opening of its final segment in December. The impact of the budget cuts on existing plans, including the goal of upgrading the Maya Train infrastructure for freight operations, remains unclear.

Isthmus of Tehuantepec Rail Project Gains Funding

In contrast, the Isthmus of Tehuantepec rail project, which aims to provide an overland alternative to the Panama Canal, received a 703.5% funding increase, from 3.9 billion pesos ($190 million) to more than 31.5 billion pesos ($1.53 billion). This shift reflects the project’s potential economic and logistic benefits.

Budget Reallocation

The Ministry of Finance and Public Credit reported that the budget shifts also reflect increased support for migrants and repatriation programs, as well as a focus on programs with economic and social impact. The National Migration Institute’s budget increased by 489%, while the Mexican Commission for Refugee Assistance (Comar) saw a 110% increase.

Underwhelming Ridership

The Maya Train, anticipated to be a major tourism boost for the Yucatan region, has underperformed in terms of ridership, averaging only 1,650 passengers daily instead of the predicted 8,200. In response, the government launched a campaign in December to increase usage.

These budget adjustments highlight the evolving priorities of the Mexican government amid ongoing border security issues and the need for economic and social support programs.

Source: Trains