The economy of the state of Baja California has worsened during Governor Jaime Bonilla’s administration, a new report says.
The Baja California Center of Economic Studies said two years ago the incoming administration received a state with compromised finances that worsened by impacting the middle class, increasing extreme poverty and depending more on the US economy.
As of August the state saw 154,443 new jobs, but mostly considered as trash jobs as the majority pay about $21 per day.
In the last two years the number of $21 a day jobs increased to 434,655, while those earning $53 per day decreased.
The Mexican Institute of Social Security reported in August that 44 percent of workers in the state earn $21 daily.
In the meantime, the National Council of Evaluation of Social Policy said last year the number of people in extreme poverty climbed to 58,000 from 50,000. Statewide, 1.2 million residents have no access to at least one public service like health, food or housing.
The study says over 15,000 businesses had shut down their doors in the last couple of years, with many before the pandemic. In the first months of the administration that ends on Halloween 4,620 companies closed.
According to the report $793 million of foreign investment left the state. The report does not include the failed brewery of the New York based company Constellation Brands.
The report indicates that the State’s Gross Domestic Product has increased 1 percent this year.
Mexicali shoppers had also observed an impact in the cash register, as food prices had climbed close to 9 percent as of September, with tortillas, meat, chicken and eggs increasing over 11 percent each.
Mexico’s Federal Reserve Bank, or Banco de Mexico, said during the first quarter of 2021 the state received the largest amount of remittances in its history — $662.
The study says while Baja California was in the middle of the list of states in remittances reception the state has become ninth among the 32 states.