NEW YORK (Standard&Poor's CreditWire) June 7, 2001--Standard&Poor's today affirmed its double-'B'-plus/single-'B' foreign and triple-'B'-plus/'A-2' local currency sovereign credit ratings on the United Mexican States. The outlook on the ratings remains positive. An upgrade of Mexico's foreign currency ratings to investment grade will depend upon improved public finances. A stronger fiscal position would make the economy less vulnerable to oil price swings, lighten the government's debt burden, and enable increased social spending needed to improve the well-being of 40 million Mexicans living in poverty, as promised by Vicente Fox in his successful bid for the presidency. Improved public finances could result from passage of tax reform (currently in committee in Congress) without major dilution, or by further
