New Digital Economy Law Approved by Congress
The Chamber of Deputies has granted approval, both in general and in detail, to a bill proposing the Digital Economy Law for Digital and Electronic Payments. This legislation aims to promote the adoption and implementation of electronic and digital payment methods across Mexico. Advocates of the initiative assert that it will enhance financial inclusion and create new opportunities for businesses within the country. However, critics argue that it represents an authoritarian mechanism that could facilitate surveillance and exacerbate existing inequalities in the Mexican market.
According to the bill’s presentation, the primary objective is to bridge the gap between available infrastructure and its effective use, enabling all individuals to make digital payments. The project characterises digital and electronic payments as transactions conducted via QR codes, Near Field Communication (NFC) devices, and other means that facilitate payment processing, including debit and credit cards, fund transfer orders, and any other recognised devices or interfaces as defined by relevant authorities.
Identity Verification and Digital Citizen Files
Among its provisions, the new regulatory framework stipulates that the digital CURP (Unique Population Registry Code) will be accepted as a valid means of verifying the identity of users wishing to engage financial services through electronic platforms. Furthermore, it clarifies that individuals can utilise alternative official documents for this purpose.
The legislation also proposes the establishment of a Digital Citizen File, intended to streamline access for financial institutions to the digital documentation of individuals seeking financial services, contingent upon prior consent. The information contained within this file would possess the same legal validity as its physical counterparts, and individuals would have the right to request access and portability of their data.
Moreover, the legal framework encourages authorities at all governmental levels to adopt electronic and digital payment methods for various processes and services, while suppliers of goods and services are also encouraged to implement these systems. Both governmental bodies and businesses will be required to provide the necessary infrastructure, inform users about available payment options, and create contingency plans for instances where digital payments cannot be accepted.
Governmental Authority and Exceptions
The law empowers the Ministry of Finance and Public Credit (SHCP) to identify strategic sectors or significant activities where digital and electronic payments will be mandated as the sole payment method. Currently, the specific conditions, requirements, and operational rules applicable to these sectors remain undisclosed. An exception has been outlined, allowing for temporary use of cash or cheques in the event of a contingency that prevents the acceptance of digital payments, although such situations should not become a permanent practice.
Lastly, the bill assigns the Digital Transformation and Telecommunications Agency (ATDT) the responsibility of developing technological models and solutions related to the digitalisation of services, including the Digital CURP, the Digital Citizen File, a National Digital Investment Window, and a Merchant Establishment Platform.
Debate on Financial Inclusion and Surveillance
Despite its progress through the legislative process, the proposal has sparked divided opinions among lawmakers regarding its effective implementation, intended purpose, and potential economic impact on micro, small, and medium-sized enterprises (MSMEs) as well as consumers. Carlos Hernández Mirón, a deputy from the National Regeneration Movement (Morena), emphasised the law’s necessity for enhancing the domestic market. He referenced data from the National Institute of Statistics and Geography (INEGI), claiming that Mexico possesses the necessary infrastructure for mass digital payments, asserting that “98%” of Mexicans have access to mobile devices facilitating such services. However, the actual figure is closer to 84.6% of the population aged six and above who used a mobile phone in 2025.
Furthermore, he argued that the law’s implementation would not substantially impact public expenditure, as the Federal Expenditure Budget allocates MXN 4 billion to the ATDT and the SHCP.
In agreement, Luis Armando Díaz, from the Labour Party (PT), highlighted that Mexico will, for the first time, have a legal framework mandating all levels of government to promote digital payments while establishing rules of trust, digital identity, traceability, security, and interoperability to expand the use of these solutions. He noted that the law addresses a clear issue: Mexico does not lack digital infrastructure, but rather needs that infrastructure to be integrated into the everyday lives of its citizens.
Concerns Over Digital Divide and Privacy
Nonetheless, this perspective was challenged by Emilio Suárez from the Institutional Revolutionary Party (PRI), who acknowledged the need for Mexico to engage more actively in the digital economy. However, he cautioned that the approved bill could lead to an even greater internal digital divide than currently exists in the country. He stated, “This law could help modernise the Mexican economy and expand access to financial services, but as proposed, the risk is that it increases exclusion, surveillance, and technological vulnerability if implemented mandatorily without sufficient infrastructure or effective user guidance.”
Verónica Pérez Herrera, a deputy from the National Action Party (PAN), stressed the importance of not confusing technology’s practicality with its potential to enable government surveillance. She asserted that while Mexico needs modernisation, it is essential to distinguish between progress and control, as well as between digitalisation and oversight.
Patricia Flores Elizondo from the Citizens’ Movement (MC) raised concerns regarding the lack of clarity on who would bear the costs related to connectivity, payment devices, and adaptation processes. She warned that without assurance of state coverage for these expenses, small businesses, underprivileged municipalities, and consumers could face long-term vulnerability.
Opposition to Authoritarian Measures
She also highlighted potential risks regarding privacy and the centralisation of power, noting that the initiative fails to specify what data will be stored, for how long, who will access it, and for what purposes. The absence of provisions for independent audits or penalties for data breaches constitutes a dangerous opening for a state that has historically used Congress and its members to consolidate power. “Digitalisation is essential, but the state should bear the costs, not the corner shop,” she asserted.
In a similar vein, Homero Ricardo Niño de Rivera Vela, another deputy from the PAN, characterised the bill as “authoritarian, arrogant, and overweening.” He clarified that the opposition is not against new technologies but rather against the manner in which this initiative proposes their use. “We are informed that the identified strategic sectors and relevant activities will be mandated to accept digital payments, yet we are not provided with the criteria by which these sectors and activities will be determined,” he stated.
This proposal originates from an initiative presented by Claudia Sheinbaum, the President of Mexico, in early September. Following a vote of 327 in favour and 122 against, the bill has been approved by federal deputies and is now pending review by the Senate for constitutional processing.