Policy paper: The technical process of bank privatization in Mexico

This paper describes the process of Mexican bank privatization that took pl ace in 1991. We show that the Mexican government was very careful to ensure due process and transparency through the entire bank privatization process . However, the lack of a legal and regulatory framework and lax oversight s hadowed the success of the technical process. Hence, the financial system i n Mexico had to deal with a banking crisis shortly after their privatizatio n, in 1994.