Puebla to settle debts from Audi and CIS Construction Projects

The Puebla state government is considering applying for a short-term loan to cover a debt of US$87.1 million. This debt arose from the construction of the sites for the Audi plant and the Comprehensive Services Center (CIS) through Public-Private Partnership (PPP) and Service Provision Projects (SPP) arrangements.

Cabinet Coordinator José Luis García Parra stated that, although they are not currently seeking to take on debt, Governor Alejandro Armenta Mier ordered a review of previously signed contracts.

García Parra stated that the contracts are proving to be “very costly for the public coffers,” since the state government is paying too much interest and not enough principal, so it is expected that both contracts will be renegotiated.

Following renegotiations, the interim government paid only 2,000 million pesos instead of US$116.1 million to settle the debt of the International Baroque Museum (MIB) through a restructuring in early 2026.

García Parra has stated that US$87.1 million in principal alone remains outstanding, so they are analyzing the options for settling both payments.

He also said that the CIS building costs the government approximately US$14.5 million annually, due to the construction model (through a public-private partnership, or PPS) used.

Given this situation, the Puebla government coordinator has insisted that the best option under consideration would be to request a short-term loan to avoid generating more debt.

“The goal is to pay off the actual amount owed for these two projects and save hundreds of millions of pesos in interest,” he noted.

García Parra explained that this potential request for financing depends solely on whether the savings on interest payments are real and significant for Puebla.

Therefore, if the joint review with the Ministry of Finance does not reveal a viable option, the state administration will maintain its position of not requesting any type of loan.

In this context, Puebla Governor Alejandro Armenta Mier has, on several occasions, reached out to the builders of the CIS—a project that was completed in 2011—in an effort to establish a dialogue.