MNI BRIEF: Banxico To Discuss Cuts At Next Meetings - Governor
Mexico’s central bank governor Victoria Rodriguez Ceja spoke during a virtual presentation of the central bank’s quarterly economic update for the first quarter of 2024.
Mexico’s monetary authority will discuss new interest rate cuts at upcoming meetings, the central bank’s governor, Victoria Rodriguez Ceja, said Wednesday, cautioning this does not mean the battle against inflation "has stopped."
“From my perspective, at upcoming meetings, we will be discussing the possibility of cuts in the reference rate, which we will decide according to the overall inflation outlook,” she said during a virtual presentation of the central bank’s quarterly economic update for the first quarter of 2024.
“Even with the reductions, our monetary stance will remain restrictive, and we foresee that the current restrictive monetary stance and the one that will continue to prevail will remain conducive to the convergence of inflation to the target in the forecast horizon.”
Banxico decided unanimously to maintain its interest rate at 11% this month, after a 25 basis point cut in March. (See MNI INTERVIEW: Banxico Should Have Begun Easing In '23-Werner)