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AMLO’s legacy: Wage hikes, poverty cuts, and a social security boom in Mexico

A 125% wage leap and 13M lifted from poverty—AMLO’s bold reforms redefined Mexico’s economy. Now, Claudia Sheinbaum faces the challenge of sustaining this momentum.

This is the aerial view of a city. in this we can see buildings, towers, motor vehicles,...
This is the aerial view of a city. in this we can see buildings, towers, motor vehicles, advertisements, sign boards, roads, trees, street poles, street lights, sky, persons, traffic cones, advertisement and information boards.

AMLO’s legacy: Wage hikes, poverty cuts, and a social security boom in Mexico

Mexico’s government has reported major economic and social changes under President Andrés Manuel López Obrador (AMLO). His administration, known as the fourth transformation, claims to have lifted millions out of poverty while cutting inequality. Now, as his term nears its end, AMLO has re-emerged on social media to promote a new book—and to rally support for his successor, Claudia Sheinbaum.

Since AMLO took office in late 2018, the minimum wage has risen by 125% in real terms. Over 13 million people have moved above the poverty line, according to Sheinbaum, who also noted that 32 million families now receive direct welfare payments from the social security administration. The country’s unemployment rate stands at 2.6%, while foreign direct investment has hit record levels.

The government’s claims highlight economic growth, lower poverty, and increased wages since 2018. With AMLO’s term ending, attention now shifts to Sheinbaum’s leadership and whether these trends will continue. The administration’s focus remains on defending its policies and ensuring a smooth transition of power.

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