World Bank Approves US$500M Credit Enhancement to Boost Mexico’s Infrastructure

In a global landscape where private capital is increasingly selective, the World Bank’s backing signals strong confidence in Mexico’s institutional strength and investment climate.

The World Bank’s Executive Board has approved a credit enhancement instrument of up to US$500 million to help Mexico mobilize large-scale private investment in sustainable and resilient transport infrastructure. The decision reinforces the Government of Mexico’s efforts to implement Plan México, an ambitious strategy to accelerate economic growth, job creation, and national connectivity through major infrastructure expansion.

The new credit enhancement—designed to strengthen guarantees issued by Mexico’s Fondo Nacional de Infraestructura (FONADIN)—will significantly expand the country’s ability to attract private capital for infrastructure projects with high social and economic impact.

Strengthening FONADIN Through a New Credit Enhancement Platform

Under the arrangement, BANOBRAS, acting as trustee of FONADIN, will leverage the World Bank-backed guarantees through the creation of FONADIN’s Credit Enhancement Platform (CEP). This platform will enable FONADIN to absorb more risk, improve financial structuring, and increase investor confidence—unlocking new financing for transport and logistics development.

Mark R. Thomas, World Bank Division Director for Mexico, emphasized the strategic value of the platform:

“The approval of this instrument represents a vote of confidence in Mexico’s ability to structure and implement innovative financial solutions that mobilize private capital toward projects with high social and economic impact.”

He noted that CEP will serve as a benchmark for results-oriented international cooperation, expanding Mexico’s ability to finance transformative infrastructure projects.

Expected Results of the Credit Enhancement Platform

The CEP is expected to generate significant economic, social and institutional benefits, including:

• Mobilizing approximately US$1 billion in private capital for Mexico’s infrastructure sector.

• Creating jobs in the construction and transport industries, with additional indirect economic gains.

• Strengthening FONADIN’s institutional capacity to design and deploy credit enhancement instruments.

• Accelerating investment in sustainable, climate-resilient transport systems that improve national connectivity.

These investments will help modernize highways, rail, ports and logistics systems—key for Mexico’s competitiveness, climate adaptation and regional development.

Reinforcing Mexico as a Reliable Destination for Long-Term Investment

In a global landscape where private capital is increasingly selective, the World Bank’s backing signals strong confidence in Mexico’s institutional strength and investment climate. The initiative is supported across the World Bank Group, including:

• International Bank for Reconstruction and Development (IBRD)

• Multilateral Investment Guarantee Agency (MIGA)

• International Finance Corporation (IFC)

Together, these institutions help ensure Mexico attracts long-term, sustainable investment aligned with the country’s development goals.

Supporting Plan México’s Vision for Sustainable, Inclusive Growth

The new credit enhancement supports the Plan México objective to:

• modernize transport infrastructure

• increase economic resilience

• reduce emissions through sustainable mobility

• expand employment and economic opportunities

• strengthen regional and local connectivity

By combining public-sector leadership with private-sector investment, the World Bank-supported CEP will help Mexico build cleaner, safer and more resilient transport networks that underpin national development.