MNI BRIEF: Banxico Governor Says Considering Rate Cut
Banxico still sees upside inflation risks, but also recognizes recent progress in reducing price pressures.
Mexico’s central bank is actively considering interest rate cuts at coming meetings, the central bank’s governor, Victoria Rodriguez Ceja, said Thursday.
Deputy governors on the virtual presentation of the central bank’s quarterly economic update for the fourth quarter of 2023 declined to directly address the issue of whether they would cut rates at the March meeting, saying there was still time between now and then.
“The board will evaluate, based on available information, the possibility of adjusting the reference rate,” Rodriguez Ceja told the call. “We will take into consideration progress made on inflation and remaining risks.”
Her message echoed both the statement contained in the Feb. 8 decision to hold rates at 11.25% as well as that meeting's minutes, released last week. (See MNI INTERVIEW: Banxico Cuts Coming Even If Premature-Ex-Deputy)