(Reuters) – Mexican bank Grupo Financiero Banorte expects to set up a US$3 billion infrastructure fund in the next few months with a North American partner, Chief Executive Officer Jose Marcos Ramirez said on Thursday.
“We’re very conscious that the future is in infrastructure, despite the price of oil,” Ramirez said at banking conference in the Mexican beach resort of Acapulco, adding that he expected to launch the fund within the bank’s pension fund arm in “a few months”.
He declined to say who the North American partner would be.
In October, Reuters reported that the Caisse de dépôt et placement du Québec, Canada’s second-largest pension fund, was poised to unveil a large infrastructure-related investment in the Latin American country.
One source said Caisse and a Mexican institutional investor planned to create a joint fund to invest up to several billion dollars in domestic infrastructure projects.
Mexico has been badly hit by the fall in oil prices, which have taken the peso to record lows and blunted the government’s landmark energy reform. Last week, Mexico’s Finance Minister Luis Videgaray urged the private sector to invest in domestic infrastructure projects to stimulate growth.
By Tomas Sarmiento and Christine Murray
(Writing by Gabriel Stargardter; editing by Andrew Hay)
(This story has been edited by Kirk Falconer, editor of peHUB Canada)
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