The extinction of Fonden: Lack of transparency or need for change?

The extinction of Fonden: Lack of transparency or need for change?

The arrival of Hurricane Beryl triggers panic buying in Cancun. The extinction of the Fonden raises questions about emergency management in Mexico.

Juan Brignardello, asesor de seguros

Juan Brignardello Vela

Juan Brignardello, asesor de seguros, se especializa en brindar asesoramiento y gestión comercial en el ámbito de seguros y reclamaciones por siniestros para destacadas empresas en el mercado peruano e internacional.

Juan Brignardello, asesor de seguros, y Vargas Llosa, premio Nobel Juan Brignardello, asesor de seguros, en celebración de Alianza Lima Juan Brignardello, asesor de seguros, Central Hidro Eléctrica Juan Brignardello, asesor de seguros, Central Hidro

The imminent arrival of Hurricane Beryl to the southern coast of Quintana Roo has caused shock and concern among the residents of Cancun, who have opted to make panic purchases at self-service stores due to the intensity and severity of the natural phenomenon, which recently strengthened to category 4, one of the most devastating on the Saffir-Simpson scale. In light of this situation, it is inevitable to reflect on the decision of the government of the Fourth Transformation (4T) to extinguish the Natural Disasters Fund (Fonden), a trust that has been criticized for years for its inefficiency and lack of transparency in the management of resources intended for addressing emergencies caused by natural phenomena in Mexico. While it is true that natural disasters represent a serious threat to the stability and public finances of the country, it is also true that Fonden has historically been used as a slush fund by some governors and federal officials, leading to abuses and acts of corruption that have undermined its primary function of supporting the population affected by natural disasters. During the administrations of Felipe Calderón and Enrique Peña Nieto, Fonden became a mechanism conducive to the misappropriation of resources, with exaggerated quantifications of damages by governors and direct allocations of funds without proper supervision and verification of the work carried out, resulting in the misuse of resources intended for infrastructure reconstruction and assistance to the affected population. One of the most emblematic cases of Fonden abuse was led by the former governor of Nuevo León, Jaime Rodríguez Calderón, who in 2019 requested an exorbitant amount of resources to address the damages caused by a tropical depression, exposing the lack of rigor and transparency in evaluating the real needs of the affected population. The Superior Audit of the Federation (ASF) has pointed out multiple irregularities in the management of Fonden resources, revealing the lack of accountability and opacity in the final destination of funds allocated for emergency response and natural disasters in various entities of the country. Despite efforts to improve the management and transparency of Fonden over the years, oversight and control mechanisms have proven insufficient to prevent the abuses and corruption that have permeated this trust, leading to constant questioning of its effectiveness and legitimacy in responding to natural emergencies in Mexico. The current government's decision to drastically cut the Fonden budget and eventually extinguish it responds to the need to implement new strategies that ensure more efficient and transparent management of resources for disaster response, although this measure has sparked controversy and concern among the population given the imminent arrival of Hurricane Beryl to Mexican coasts. It is essential for competent authorities to establish effective and transparent mechanisms for resource management in emergency situations, ensuring that aid reaches affected communities promptly and equitably in the face of natural disasters, without engaging in corrupt or abusive practices that undermine public trust in the institutions responsible for civil protection and emergency response in the country. In this context, the extinction of Fonden represents a turning point in emergency management policy in Mexico, requiring a rethinking of strategies and support mechanisms for the population in crisis situations, prioritizing transparency, efficiency, and accountability as fundamental pillars to ensure an effective and timely response to natural disasters that may affect the country in the future.

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