BUSINESSWEEK ONLINE : JULY 5, 1999 ISSUE
INTERNATIONAL -- LATIN AMERICA

Mexico's Bottomless Banking Bailout


THE PROBLEM
Banks are burdened by billions in past-due loans extended during a lending boom before the December, 1994, peso devaluation

THE SOLUTION
After spending more than $65 billion to clean up banks, the government must still rescue Banca Serfin, the country's No. 3 bank

THE DILEMMA
Until Mexico's banks are cleaned up and better capitalized, lending to business will remain at close to nil, cramping economic growth


DATA: BUSINESS WEEK


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RELATED ITEMS
The Mexican Bank Crisis Just Won't Go Away (int'l edition)

TABLE: Mexico's Bottomless Banking Bailout

ONLINE ORIGINAL: Bancomer's Guajardo: ``We Need to Have a Vision'' (int'l edition)



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