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Article posted Oct 31 2012, 2:52 AM Category: Economy Source: The Dollar Vigilante Print

Mexico Joins the US and Others in Implementing Capital Controls


Regrettably, Mexico, too, has now hopped on the capital control bandwagon. In 2010, Mexico instituted strict limits on foreign exchange cash transactions to $1,500 per person per month which made it tough on tourists and resulted in many dollar exchanges closing their doors.

Now, under the auspices of shutting down a $60 billion drug trafficking business, Mexico has passed a law nominated the "Federal Law on the Prevention and Identification of Operations from Illicit Sources", due to take effect in July of 2013. This law will require the reporting of certain transactions involving cash while prohibiting others.

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