An additional 25% budget cut for 2019 proposed by Mexico's congress could seriously impair the work of telecoms regulator IFT next year, the regulator said in a statement.
The new left-leaning government had ordered deep spending cuts across the administration, including slashing salaries and making staff layoffs in order to fulfill the promise of "republican austerity" made during the campaign.
The IFT, in charge of both technical and economic regulation for the country's dynamic telecommunications sector, had an earlier budget proposal that was around 11% less that it received for this year, and its head, Gabriel Contreras, added that it included the elimination of private health plans, among other costs.
But the new congressional proposal, the IFT said, which cuts an additional 280mn pesos (US$14mn) from the budget "would compromise the proper operation of the institute, by not guaranteeing sufficient funds for the appropriate and timely execution of its appointed tasks."
The government's budget proposal includes cut of around 35% cut to several government units and ministries related to the telecommunications industry.
The new proposal, the ICT added, risks opening the door for highly specialized technical staff to leave the regulator.