Mexico City Achieves Record Income and Fiscal Autonomy, Driven by Citizen Confidence and Increased Investment
Mexico City, April 28, 2026 – Mexico City has solidified its position as a national and international benchmark for sound finances and fiscal autonomy, announced the Head of Government, Clara Brugada Molina. During a presentation of the 2025 public account balance and the first quarter of 2026, Brugada Molina thanked citizens for their trust, reflected in tax payments that have led to increased income, investment, reduced debt, and improved well-being across the capital.
The capital recorded an unprecedented income of 334 billion pesos in 2025, indicating a rise in citizen confidence and greater investment. “We are, as Mexico City, the only entity in the country where more than half of its income comes from its own resources. We are consolidating our position as the state with the highest percentage of local income. This positions us as a national and international reference for sound finances and fiscal autonomy,” Brugada Molina stated.
Significant Growth in Local Revenue and Public Investment
During a press conference held at the Old City Hall Palace, the local Executive highlighted that 151 billion pesos in local income were registered in 2025, representing a 21 percent increase compared to 2024, with a notable 25 percent rise in tax revenue. This expansion of local income is attributed to the unprecedented trust of citizens, leading to timely tax payments.
These robust revenues have facilitated a substantial increase in public investment for infrastructure projects, reaching 59 billion pesos – an 18 percent increase in a single year. “The results of the 2025 public account are conclusive: Mexico City is consolidating itself as the capital of investment, the capital of sound finances,” Brugada Molina affirmed.
Regarding the first quarter of 2026, public investment quadrupled compared to the same period in 2025, soaring from 3 billion to 12 billion pesos. This led to a 38 percent increase in public works investment, a 27 percent rise in hydraulic infrastructure, and a 13 percent increase in mobility investments for 2026. “Public investment is a key economic multiplier, a factor that accelerates growth and expands necessary infrastructure. Investment, as we have always said, is a bridge between the present and the future; this city is investment-friendly,” she emphasized.
Citizen Confidence Drives Continued Growth
In the first quarter of 2026, income grew by 4 percent compared to 2025, amounting to an additional 5 billion pesos. When compared to programmed figures, public income increased by 10 billion pesos. “Local revenues are growing, and they grew significantly last year, and today, in the first quarter of 2026, income continues to grow. This means that the population is paying their taxes because they trust their government,” Brugada Molina pointed out.
Brugada Molina also reported that the city’s 16 boroughs saw an increase of 1.85 billion pesos in their resources this year, allowing them to allocate funds to infrastructure, mobility, water, and security. She noted that this is the first increase for the boroughs in 20 years, demonstrating the city’s “municipalist heart.”
High Credit Rating and Fiscal Benefits for Citizens
By the end of 2025, Mexico City once again secured the best credit rating from leading international agencies, underscoring the confidence of financial markets and international investors in the capital’s finances. “We are thus achieving a strong increase in public investment while also reducing debt. In summary, we have more income thanks to the trust of the capital’s residents, and therefore we have more investment, less debt, and greater well-being,” she highlighted.
Juan Pablo de Bottón Falcón, Secretary of Administration and Finance (SAF), reported that in the first quarter of 2026, income grew by 4 percent annually, totaling 101.677 billion pesos. This represents an 11.9 percent increase over the amount approved in the Mexico City Revenue Law for this period, which he attributed to the boost and strengthening of local revenues, building on a high comparison base from 2025, which saw a 7.3 percent annual increase.
In 2025, total income increased by 8.6 percent annually, reaching 334.3495 billion pesos. “In total, we have benefited 3.1 million people in the first quarter, with various discounts or fiscal benefits that we offer, and this seems very important to us; it is a different way of incentivizing and stimulating people to fulfill their contributions,” the SAF official asserted.
De Bottón Falcón revealed that 58 percent of the city’s taxpayers, representing 1.148 million people, have already paid their annual property tax. This means almost six out of ten taxpayers have covered their annual property tax. Taxpayers benefited from the “Pay Sooner, Pay Less” campaign, generating over 1.415 billion pesos. Additionally, 159,000 vulnerable individuals received discounts on water and property taxes.
The 100 percent discount on vehicle ownership tax benefited 1.226 million taxpayers (1.122 million vehicles), raising 3.577 billion pesos and increasing vehicle registrations by 15 percent. The 100 percent discount on vehicle ownership tax for vehicles not exceeding 638,000 pesos (including VAT) will be extended until June.
Regarding permanent licenses, 2.938 billion pesos have been collected from the issuance of 300,000 permanent licenses, each costing 1,500 pesos. Additionally, 83,920 small businesses benefited from payroll tax incentives, leading to a 17.3 percent increase in this tax’s collection. Nearly 100,000 beneficiaries have regularized their tax situation, with the fiscal regularization program extended until June 30.
Public investment programs for the year indicate a 55 percent increase compared to 2024, specifically 57.911 billion pesos. The Ministry of Public Works and Services increased its budget by 37.8 percent annually, water infrastructure by 12.7 percent, and mobility by 13 percent. In the first quarter, capital expenditure reached 12.037 billion pesos, compared to nearly 3 billion pesos in the same period last year. “Therefore, we have almost four times the investment we had last year, and we expect to close in line with the target of a 55 percent increase over 2024,” he concluded.
Source: https://889noticias.mx/noticias/actualidad/cdmx-se-consolida-como-la-capital-de-la-inversion-y-de-las-finanzas-sanas-brugada/
