Extract

Municipalities in Mexico are characterized by heterogeneity in geographical, demographic, economic and social welfare terms. In 2010 there were 2456 municipalities in the country, 115 of them contained half of the total population, 65 of them generated half of the GNP, and 120 contained a low marginality index. The majority of them lack the necessary elements to promote better conditions due to the following limitations: low levels of efficacy and efficiency; centralization of the financial system; a wide participation of central government in local affairs, and low levels of professionalization, among others. In response to economic, legal and administrative limitations of local government in Mexico, some municipalities, by themselves, are trying to improve administrative processes, management, introducing information and communication technology and incorporating social participation in the decision making policy. One aspect related to social participation is the formation of relationships between local government officials and local entrepreneurs (public-private relationships) to promote and enhance local economic development.