Federation Cuts BC Budget by 25%, Announces Retes
In an announcement made on November 2, 2025, in Tijuana, Baja California, federal deputy César Damián Retes reported a significant budget cut from the Federation for the state. The reduction is projected to be around 25 percent, raising concerns about its impact on crucial sectors, particularly security.
Impact of Budget Cuts in Baja California
Deputy Retes, representing the National Action Party (PAN), emphasized that this budget reduction would heavily affect state security. As extortion and homicide rates continue to rise, this funding cut could exacerbate existing issues.
Healthcare Budget Reduction
Additionally, he indicated that the health budget for Baja California would face a 5 percent cut. This decrease comes at a time when local health institutions are already struggling with supply shortages.
Concerns Over Federal Projects
Retes criticized the allocation of federal budget funds, suggesting they are being redirected towards projects that do not benefit Mexican families. He argued that these funds should instead support essential services and community welfare.
Potential Impact on Small and Medium-Sized Enterprises
The deputy also raised concerns regarding the lack of updates to the Payroll Tax, which could negatively impact small and medium-sized businesses. As the minimum wage is set to increase at the beginning of the upcoming year, this could create additional financial pressure on these enterprises.
- Budget Cut: 25% reduction from the Federation.
- Health Budget: 5% cut affecting local health services.
- Security Concerns: Increased extortions and homicides.
- Payroll Tax Update: Unaddressed concerns impacting small businesses.
Moving forward, the consequences of these budget cuts will likely resonate across various sectors in Baja California. As the state grapples with these challenges, the need for effective legislative action becomes increasingly urgent.
