The Mexican government will cut 2015 spending by 0.7 percent of gross domestic product on the expectation that oil prices may remain low for years, Finance Minister Luis Videgaray said. Stocks extended declines. President Enrique Pena Nieto’s administration will reduce spending by 124.3 billion pesos ($8.3 billion) this year from the level approved by lawmakers in November, Videgaray said at news conference in Mexico City. The government is canceling plans for a passenger train in the Yucatan peninsula and suspending a high-speed rail project meant to connect Mexico City and Queretaro, Videgaray said. The reductions will allow Mexico to avoid raising additional debt or increasing taxes, Videgaray said. Mexico’s state-owned oil and electricity companies will cut their own outlays, and all the reductions will have a marginal effect on 2015 growth, Videgaray said. “We will take measures not only addressing the current situation, but rather we’ll take […]