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  HOME | Mexico

Crime Eating Up 8.9% of Mexico’s GDP, Report Says

MEXICO CITY – Crime cost Mexicans 1.01 trillion pesos (nearly $85.38 billion) in 2009, a figure equivalent to 8.9 percent of the gross domestic product (GDP), a study released over the weekend by the Citizens Crime Research Institute, or Icesi, said.

Crime-related spending rose 11.5 percent in 2008 and 2009, the latest years for which figures are available, costing each Mexican 10,363 pesos ($870) annually, the non-governmental organization said.

Total crime-related costs rose from 7.4 percent of GDP in 2007 to 8 percent in 2008 and 8.9 percent in 2009, Icesi, which is run by public safety expert Carlos Mendoza, said.

The average crime burden per Mexican was 9,447 pesos ($793) in 2009, up 6 percent in one year, the institute said.

The private sector bore 79.7 percent of the cost of crime, while federal, state and municipal governments had to pay for 19.2 percent of the crime burden and indirect costs accounted for 1.2 percent.

“The increases in public investment have not resulted in a reduction in the crime rate” or in “the perception of crime among the population,” Icesi said.

“The economic impact of crime has not eased in the country” even though more is being spent in absolute terms, but not necessarily in a better way, the report said.

The Icesi report was prepared using figures from the National Crime Survey, or Ensi, released in December. EFE
 

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