Last week a hefty package of $3.5 billion worth of tax cuts were granted to the struggling state oil company Petroleos Mexicanos (Pemex) to be spread over the next six years. Now, on Tuesday morning, Mexico’s new leftist president Andres Manuel Lopez Obrador had to pledge even more aid to the cash-strapped company. The exact amount has not yet been specified, but it probably will be significant if Pemex’s ever-worsening needs are to be met. Pemex is not entirely to blame, however, for its growing predicament. For years the Mexican government has used Pemex’s pockets as a personal piggy bank, without ever fully repaying what was taken out of the coffers. Now, as Lopez Obrador pumps more money into Pemex, the company’s bonds have subsequently seen major gains as its credit rating was slashed to a dismal figure. The money given by the recent tax cuts doesn’t compare, however […]