Mexico's judicial reform has triggered investor concerns about uncertainty over the rule of law and the strength of the government's institutions, yet with the reform now priced in, some analysts argue there may be buying opportunities forming.

Outgoing Mexican President Andrés Manuel López Obrador on Sunday signed an overhaul of the country's judicial system that critics warn will weaken democracy. Why it matters: López Obrador says the constitutional reform,

Electing judges through popular vote could undermine the independence of the judiciary and expose it to political pressures and external influences.

Protesters attempt to break into a room in the Senate as lawmakers weigh the government’s proposed judicial reform, which would make judges stand for election, in Mexico City, Tuesday, Sept. 10, 2024.

"The corrupt judges – are they going to continue defending foreign companies that come to loot, rob and affect the economy of Mexicans?” asks Andrés Manuel López Obrador (AMLO). The outgoing Mexican president’s typically warm welcome to international investors comes as his governing Morena party consolidates power.

Mexican President Andrés Manuel López Obrador issued a decree in the Official Federal Gazette on Sunday, confirming that recent judicial reforms have now taken effect following his formal approval

Mexico's judicial reform has triggered investor concerns about uncertainty over the rule of law and the strength of the government's institutions, yet with the reform now priced in, some analysts argue there may be buying opportunities forming.