Letter to our Readers.

Dear Readers,

The country is still struggling through uncertain economic times, despite continuing investor confidence and a strong currency. For the first time since he took office, President Vicente Fox admitted that the economy "is in a rut. "Most Mexicans didn't need him or Ortiz or Gil Diaz to tell them that, however. Although consumer spending is still relatively strong and inflation low, exporters are going crazy in the face of such a strong peso, and the average Joe can 't help but worry about the effects of Mexico s' sluggish neighbor to the north, and wonder when its economy is going to pick up again.

Part of the reason for the strong peso--and thus the local exporters' woes--is the high level of foreign direct investment (FDI) the country has attracted. With US$3.6 billion in FDI entering the country in the first quarter of this year alone, Fox's goal of reaching US$20 billion a year by the end of his administration might just be in reach. Check out our cover story "Mexico Top 50 Foreign Companies" for a ranking of the multinational powerhouses that are driving up FDI, and a look at Mexico investment status for the year to come.

But that's not all this issue has in store: Hear about the controversial fiscal reform package currently being debated in Congress from the horse's mouth: this month Finance Secretary Francisco Gil Diaz spoke to us about why he sure the package will be passed. Meanwhile, our "Labor face-off" features exclusive interviews with both Labor Secretary Carlos Abascal and CTM President Francisco Rodriguez Alcaine. We also offer an in-depth regional report on Monterrey--the darling of Latin American business--and a three-part special report on education projects in Mexico.

Need some light reading? Our new and improved Asides page fits the bill, as does our look into Mexico's lucha libre phenomenon, ("Living in Mexico").

Catherine Craddock

Editor