An article published online by The Economic Times announces that Coca-Cola will invest at least $1 billion in Mexico over the coming year. It is the first phase of a long-term investment plan that will ultimately add up to more than $5 billion, according to Coca-Cola CEO Muhtar Kent.
Kent made the beverage giant’s intentions public during an appearance with Mexican president Felipe Calderon at the World Economic Forum, which was held in Davos-Klosters, Switzerland from January 25th through the 29th of 2012. In an effort to secure additional investments from powerful business leaders interested in betting on Mexico’s growing economy,Calderon has been actively meeting with some of the world’s top corporate leaders.
Coca-Cola is based in Atlanta, Georgia, and already employs more than 90,000 people directly and around 800,000 indirectly in Mexico. Kent said the new investment money is projected to create at least 10,000 new jobs in Mexico over the next five years, securing its position as one of the country’s largest employers.
Calderon agreed, stating that the investments “will give a strong boost to the economy, providing more and better jobs for Mexicans.” He added that the young people of Mexico real estate should expect the average income to continue growing, thanks to “positive growth despite the circumstances of today,” which referred to the current economic troubles in the U.S. and Europe.
Roughly 600,000 new jobs were created in Mexico last year, following around 800,000 in 2010.
“It amounted to nearly 1.5 million jobs after the worst financial period in the crisis we experienced,” Calderon shared. “In fact, in an atmosphere of global crisis, we have received direct foreign investment of $106 billion in five years.”
In addition to supplying a steady income for Mexican families and workers, this job growth also provides cash flow for the country’s consumers, who spend money on products from companies like Coca-Cola. This mutually beneficial relationship is why Calderon stated that corporate leaders “will always have an ally in us to move forward.”