The Mexican government-backed mortgage lender Infonavit has announced the launch of a mutual fund of mortgage-backed securities to increase liquidity and to help deepen Mexico’s capital markets.

Infonavit will kickoff the fund with 200 million pesos.

According to the statement issued by Infonavit, the fund will be available via banks and brokerages to Mexicans investing at least 20,000 pesos.

While talking to reporters, Head of Mexico’s Federal Mortgage Society Javier Gavito said, “It will make a relevant contribution, on the one hand promoting liquidity and on the other giving family’s access ... to instruments with attractive yields.”

Further, Gavito told media persons that at present, there is about 107 billion pesos worth of mortgage-backed debt in the country’s market, including money from banks and other recognized mortgage companies.

However, Infonavit’s CEO Victor Borras said, “By the end of the year, the mortgage lender aimed to have handed out up to 475,000 mortgages, short of its goal of 500,000 mortgages due to Mexico's deep economic recession.”

He added that the company added about 11 billion pesos through mortgage-backed debt placements.

As per Mexican market regulator, the country’s mutual fund industry has the equivalent of $73 billion under management.