This report does not constitute a rating action. On June 2, Mexican voters elected Claudia Sheinbaum as their next president and gave her political party, Morena, a substantial majority of seats in both chambers of Congress. They also elected more than 20,000 officials for national, state, and local governments. The incumbent center-left Morena party, founded by outgoing president Andres Manuel Lopez Obrador, will maintain its dominant political role since the 2018 national elections. Here we answer questions that we have been receiving regarding our sovereign ratings on Mexico (foreign currency: BBB/Stable/A-2) and on the rating links between the sovereign and state-owned oil giant Petroleos Mexicanos (Pemex). The Sheinbaum administration, which will take office on Oct. 1, will face embedded challenges
