Financing Mexico’s nearshoring future
As global supply chains shift closer to North America, Mexico is emerging as a major nearshoring beneficiary. But sustaining that momentum will depend on financing the infrastructure needed to support it – with the country’s pension funds increasingly becoming a vital source of long-term development capital
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Mexico is entering a defining period in its economic trajectory. Not because its structural challenges have disappeared – they have not – but because several long-term trends are beginning to reinforce one another at the same time: the reorganisation of global supply chains, the growing fragmentation of international trade, renewed emphasis on infrastructure investment, and the maturation of domestic pension savings into a meaningful source of long-term capital.
At the centre of this convergence are Mexico’s pension funds, the Afores. Once viewed primarily as administrators of retirement accounts, they are increasingly emerging as institutional investors with the scale and time horizon needed to help finance the country’s next phase of development. The discussion is no longer just about pensions. It is about how the savings of millions of workers can support the infrastructure required for sustained economic expansion.
In an environment defined by volatility, inflation pressures, and geopolitical uncertainty, infrastructure has become one of the most attractive asset classes for long-term investors. For pension funds, the appeal is straightforward. Infrastructure assets – whether in transportation, logistics, energy, telecommunications, or water systems – typically generate predictable cash flows over extended periods, offer some protection against inflation, and behave differently from traditional public-market investments. For institutions managing liabilities measured in decades, those characteristics are especially valuable.
But infrastructure offers something beyond financial returns. It expands productive capacity. Unlike many other assets, it has a direct impact on economic competitiveness and long-term growth.
That distinction matters in today’s environment. As supply chains are reconfigured and governments prioritise economic resilience, institutional investors are steadily increasing allocations to real assets. This is not a short-term tactical shift; it reflects a broader structural change in how capital is being deployed globally. The numbers already point in that direction. Roughly 49 percent of institutional investors worldwide currently have exposure to infrastructure, and that figure is expected to approach 60 percent by 2030.
Why Mexico is positioned to benefit
Mexico stands out as one of the clearest beneficiaries of this transition. Nearshoring has moved well beyond theory. Companies across industries are actively relocating manufacturing capacity closer to end markets in an effort to reduce logistical risks, shorten delivery times, and improve operational resilience. Within that shift, North America has become one of the most strategically important regions in the world economy. The USMCA bloc accounts for close to 30 percent of global GDP and more than 24 percent of world trade. Mexico occupies a particularly advantageous position within that framework: geographic proximity to the US, deep industrial integration, a broad trade network, and a manufacturing base that continues to expand.
Investment flows are already reflecting those advantages. In 2025, Mexico attracted approximately $40.8bn in foreign direct investment, up 10.8 percent from the same period a year earlier and the highest level on record. Demand for industrial and logistics facilities continues to rise rapidly, placing increasing pressure on existing capacity.
But nearshoring does not materialise on its own. Manufacturing relocation requires physical infrastructure capable of supporting large-scale industrial activity: reliable power generation, modern highways, efficient ports, rail connectivity, and robust digital networks. In short, it requires
