Mexico's electricity proposal ''negative'' for sovereign rating - Moody's

MEXICO CITY, Oct 6 (Reuters) - The Mexican president's proposal to reform the country's electricity sector is "negative" for the sovereign credit rating of Latin America's second-largest economy, Moody's Investors Service said on Wednesday.

The ratings agency warned in a statement the bill would likely trigger international legal disputes, affect foreign investment competitiveness as well as take the country further away from reaching its climate goals.

Recently sent to Congress, the bill foresees the state expanding its role in oversight of the sector at the expense of regulators and will set limits on private sector involvement. (Reporting by Diego Ore)

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