Mexico's President Andres Manuel Lopez Obrador holds a news conference at the National Palace in Mexico City, Mexico, March 17, 2020. (REUTERS/Henry Romero/File Photo)

Mexico’s President Andres Manuel Lopez Obrador holds a information convention on the Nationwide Palace in Mexico Metropolis, Mexico, March 17, 2020. (REUTERS/Henry Romero/File Photograph)

Based mostly on the president’s month-to-month wage of about 108,000 pesos (£3,827), the contribution quantities to some 27,000 pesos ($1,201), which Lopez Obrador stated will go to well being companies.

Reuters MEXICO CITY
Final Up to date: July 17, 2020, 11:27 PM IST

Mexican President Andres Manuel Lopez Obrador stated on Friday that he’ll return a fourth of his wage to assist the nation climate the coronavirus disaster that has battered the financial system, encouraging public servants additionally to donate from their earnings.

Based mostly on the president’s month-to-month wage of about 108,000 pesos (£3,827), the contribution quantities to some 27,000 pesos ($1,201), which Lopez Obrador stated will go to well being companies.

He didn’t say if it will be a one-time or recurring deduction.

Since taking workplace in late 2018, the populist Lopez Obrador has made many symbolic gestures aimed toward exhibiting Mexicans that he’s personally frugal and incorruptible.

He already slashed his wage to 40% of what his predecessor made, lower salaries for senior bureaucrats, offered off authorities planes and helicopters, in addition to declining to make use of the palatial Los Pinos presidential residence utilized by Mexican presidents for the reason that 1930s, which he’s turning right into a cultural heart.

The federal government has requested lower-level officers to voluntarily contribute between 5% to 23% of their month-to-month pay, relying on their rank, in line with a finance ministry doc made public on Thursday.

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The request is tied to a authorities decree from April that carried out a spread of austerity measures by way of December 31, together with a freeze on end-of-year bonuses for high-ranking officers.

“There cannot be a wealthy authorities with a poor populace,” Lopez Obrador stated in his common morning information convention, urging others to observe his lead.

Analysts estimate the financial system might shrink by greater than 10% this 12 months in Mexico, the place the coronavirus has claimed greater than 37,500 lives in line with the federal government’s official rely.