By Eliane Portillo

According to international agencies, such as the World Bank (WB) International Monetary Fund (IMF), and the United Nations (UN), economic growth worldwide is expected to decrease this year.

The National Chamber of the Industry of Transformation (Cancintra) said on Monday that as Mexico enters 2012, uncertainty surrounds its economy due to the delicate global financial situation. In the organization’s weekly publication, Economic Overview, Cancintra said that Mexico should implement precautionary measures to protect the country’s productive sector and adopt structural reforms to achieve higher economic growth.

The report stated that Mexico is currently not taking advantage of its economic potential and structural reforms are necessary to achieve higher economic growth. The report said that Mexico needs to strengthen its domestic market and consolidate regional and sectoral development to increase the productivity of supply chains.

The Cancintra stated that Mexico should keep a close eye on the crisis in Europe and the economic slowdown in the United States, because the Mexican economy depends heavily on the behavior of some external markets, especially the U.S. economy.

Besides efforts to increase efficiency, Mexico should also look to combat piracy, the informal economy and unfair competition issues. The Cancintra also stressed the need for labor reforms that encourage productivity, generate higher incomes and adhere to international law.

Reviving Mexico’s internal market through the adoption of structural reforms will give certainty to the country and will generate more business and, therefore, more jobs, the reported stated.

In related news, the Treasury and Public Finance Secretariat (SHCP) also stated  that Mexico should adopt certain reforms to boost production and employment in the country.

Thanks to the fiscal discipline and sound management of the country’s debt in 2011, national and international investors have confidence in Mexico despite the volatility and uncertainty in international financial markets, the SHCP said.

The SHCP said that it will continue to strengthen Mexico’s economy in 2012 by maintaining economic stability and fiscal responsibility, and accelerating job growth.