Weekly Report - 14 June 2005

MEXICO | New budget setback for Fox. The budget committee of the chamber of deputies has recommended the rejection of the 66 'observations' made by President Vicente Fox to the amended budget law approved last November. The amendments included cuts to the number of appropriations for agencies of the executive. At the time Fox returned the amended budget with his 'observations', they were dismissed out of hand by the lower chamber, on the grounds that the executive lacked the power to take such action. Fox took the matter to the supreme court, which ruled in his favour, obliging the chamber to consider all observations in detail. The full chamber is now due to vote on the committee's recommendations in the extraordinary period of sessions scheduled for 21 June.

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