Feb 1, 2011

Mexican Politics: Key political risks to watch in Mexico

FACTBOX-Key political risks to watch in Mexico | Energy & Oil | Reuters: "Calderon is also struggling to deal with deep problems of corruption, money laundering, weak police and courts, and overcrowded prisons. Security experts say taking down capos is having little effect on the drugs trade, instead risking more of the violence that scares some investors.

Government officials say Calderon's military-led campaign has led to a splintering of the cartels, reducing their ability to threaten the state.

Still, investors and Mexican businesses are concerned that attacks -- beheaded corpses strung from bridges, women and children gunned down at parties and explosives in cars -- are smearing Mexico's reputation as a top market for foreign investment and a destination for U.S. and European tourists."

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