In many developing countries, venture capital investing remains a nascent industry. However, investment in private equity has been picking up in Mexico and throughout Latin America over the past year as investors regain confidence in the region and learn to select deals more wisely. Mexican authorities want to keep investors coming back and to increase investments in smaller riskier ventures that would support the sizeable small and medium enterprise segment of the Mexican economy. A study commissioned by the Mexican development bank, Nacional Financiera, SNC (NAFIN), pinpointed key issues affecting the growth of venture capital investment in Mexico and recommended an action plan for reform.
