Latin America Business News
Creating North American Development Bank Seen as Good Economic Opportunity for Border Economy
Action to bring economic development to the US Mexico border is making its way through Congress by the expansion and enhancement of the NADBank.
The North American Development Bank (NADBank) was created out of the North American Free Trade Agreement (NAFTA) in 1993 to address environmental concerns that the members of Congress had and ensure precautions and measures were taken to have environmentally sound region in the U.S.-Mexico border.
The introduction of the “NADBank Enhancement Act of 2011”, allows the two governments to work together to add more benefits along the border region such as infrastructure, transportation and Ports of Entry improvements. The proposed legislation would inject new criteria into the mandate and open the NADBank to finance new infrastructure projects. According to the text of the bill “(3) change the purposes and functions of the Bank, including changes that would allow the Bank to finance infrastructure projects in the border region that promote growth in trade and commerce between the United States and Mexico, support sustainable economic development, reduce poverty, foster job creation, and promote social development in the region.’”
“We must continue our efforts to improve economic development and safety in the border areas of both the United States and Mexico,” said Congressman Ruben Hinojosa from Texas.
This bill, which Congressman Rubén Hinojosa and 19 co-sponsors introduced, is a bi-partisan and bi-national piece of legislation that speaks to the healthy development along the U.S and Mexico border.
“Allowing the NADBank to develop and finance a broader range of infrastructure projects in the Mexico-US border region would further promote growth in trade between the United States and Mexico, and to foster greater prosperity in the border region”, wrote Mexican Ambassador Arturo Sarukhan in a letter to Chairman Spencer Bachus.
The NADBank is funded by both the Mexican and US government and the proposed legislation would not increase the deficit or add to the national debt.