Recommendations to Green Mexico’s Recovery at the Subnational Level

The COVID-19 pandemic and the accompanying economic recession join a third emergency: climate. In the words of economist Mariana Mazzucato, these emergencies have as common denominator the (wrong) notion that they should be resolved only after the effects are visible, or rather reactively. As many countries launch public policy measures to address the economic crisis resulting from the pandemic, which of those will lead to future imbalances (derived from their short-term vision) and which will have lasting economic multiplier and cobenefits? 

This report first assesses emerging literature to define key concepts for recovery and introduces criteria to distinguish public policy actions aimed at promoting a green and long-term vision recovery. An analysis framework is then provided: The Green Growth Index (GGI) to help governments find sustainable development gaps, using green growth dimensions, to formulate ex ante actions aligned with them that foster greater climate resilience from the local.

This framework is then applied at depth in three selected subnational states (Sonora, Querétaro, Yucatan). Using open databases (IMCO, INECC, UNDP, INEGI, among others), the green growth performance of the analyzed entity was contrasted with two standardized values: the subnational median and maximum values, thus identifying development gaps and green growth challenges. These challenges provide specific entry points to (re)direct state stimulus and achieve a recovery that addresses the urgent while maximizing environmental, social, and economic co-benefits.