Mexico Reduces Taxes in Country's North in Bid to Develop Areas Bordering US

MEXICO CITY (Sputnik) - Mexican President Andres Manuel Lopez Obrador signed on Saturday a decree on tax incentives for the development of the country's north, in particular, the areas bordering the United States.

"With the signing of a special program for the country's north is being launched, first of all, special tax conditions are being created for the zone bordering the United States. It is extremely important for the employment creation, the program will come into force starting on January 1," the Mexican president said presenting the program in the country's city of Monterrey.

According to the president, it is first planned to halve the added value tax in the area from 16 percent to 8 percent, after which the country's authorities plan to reduce fuel prices and double minimum wages.

READ MORE: Mexico Says Ready to Host Migrants Until US Courts Rule on Asylum Requests

Thousands of Mexican citizens, in particular from the country's north, have been illegally crossing into the United States in search of greener pastures, with the issue being the main stumbling block in the relations between the two countries.