During the administration of President Andrés Manuel López Obrador, the wealth of Mexico’s five richest men has grown significantly, with an average increase of 226.6 percent. This growth comes amid the President’s assertion that no major businessman has failed during his tenure. Over the weekend, López Obrador emphasized that his government’s social policies have benefited both the general population and the country’s top businessmen.
According to Bloomberg’s Billionaires Index, the combined wealth of Carlos Slim, Germán Larrea, Ricardo Salinas, Alejandro Baillères, and Juan Beckmann Vidal and his family now amounts to $158.63 billion. This figure is nearly a fifth of Mexico’s public debt as of May 2024.
Surge in Billionaire Wealth
Carlos Slim, the president of América Móvil, has seen his wealth rise by 78.1 percent, from $52.9 billion to $94.2 billion during López Obrador’s administration. Germán Larrea, CEO of Grupo México, the largest mining company and railroad track concessionaire in the country, experienced a staggering 944.2 percent increase in wealth, from $3.6 billion to $37.8 billion. Ricardo Salinas Pliego, president of Grupo Salinas, saw his fortune grow by 28.7 percent, from $10.1 billion to $13 billion.
Alejandro Baillères, chairman of Grupo Bal, recently joined Bloomberg’s list of billionaires. Previously, his family’s net worth was measured based on that of his father, Alberto Baillères. His current wealth stands at $6.9 billion. Juan Beckmann Vidal and his family, owners of Becle, the controller of José Cuervo, increased their fortune by 82.2 percent, from $3.7 billion to $6.7 billion.
President’s Remarks
President López Obrador highlighted the success of his administration’s social policies over the weekend, noting that 30 million families receive monetary transfers from social programs, and the rest of the population benefits from increased consumption. He stated, “All Mexicans are doing well.”
He further emphasized that no major businessman has failed during his government, and that many have increased their fortunes through their work and entrepreneurial capacity. “The bankers, it makes me ashamed to say it, but in our government, last year, this year, is when the banks have had the most profits in the entire history of Mexico,” he commented.
International Comparisons and Future Proposals
According to Bloomberg, the passage of the López Obrador administration did not result in a loss of wealth for the country’s richest men. On the contrary, these individuals have maintained their positions at the top of the world’s wealth accumulation charts. Carlos Slim is ranked 14th among the world’s richest, followed by Germán Larrea in 41st place. Ricardo Salinas is in 169th place, Alejandro Baillères in 408th, and Juan Beckmann Vidal and his family in 419th.
In a related development, Brazil is set to propose a minimum 2 percent tax on the net worth of the world’s super-rich at the G-20 summit this week. Economist Gabriel Zucman, who authored the proposal, pointed out that there are 3,000 individuals worldwide who pay an average net tax rate of only 0.3 percent.
Implications for Mexico
The substantial growth in the wealth of Mexico’s richest individuals highlights a broader trend of wealth concentration that raises important questions about economic inequality and social policies. While the López Obrador administration’s social programs have provided benefits to millions of families, the significant gains among the wealthiest also underscore the challenges of balancing wealth distribution in the country.