As in many countries of the hemisphere, Mexico is pursuing a policy of privatization and decentralization of public sector functions. These measures entail redefining the objectives and strategies of different federal and state institutions, and changes in mechanisms for inter-institutional coordination. The government institutions seek ways of collaborating with the non-governmental sector. To speak of the public sector of the state of Oaxaca is to speak of a system that is in the midst of change.

The general budget of the government of Oaxaca in 1994 came to 3.434 billion new pesos, 57% of which was earmarked to infrastructure for development and territorial integration.²⁴ About 90% of the budget came from the federal government.

While government institutions have most of the information, the information has a series of biases brought about by the shortcomings of data collection and processing system. It has been difficult to collect precise information on the budgets and actual efficacy of the programs they fund. Therefore, we do not have information on the amount invested by the state or federal government in the programs and services that most benefit the children and youth of Oaxaca.