INSUBCONTINENT EXCLUSIVE:
The Bank of Mexico (Banxico) made a significant move on Thursday, September 26, 2024
Banxico reduced its benchmark interest rate by 25 basis points, from 10.75% to 10.50%.This decision marks the third consecutive rate cut in
advocating for maintaining the current rate
about the inflationary environment
Banxico anticipates further rate adjustments in the future.Economic Headwinds: Mexico Lowers Expectations Amid Global Uncertainty
(Photo Internet reproduction)However, the bank will consider the fading impact of global shocks and economic weakness in its decisions
rate has shown a downward trend in recent years
Annual inflation decreased from 7.82% at the end of 2022 to 4.66% by the end of 2023.Banxico projects inflation to further decline to 4% in
The core inflation rate is expected to drop from 5.09% to 4.1%
aggressive action taken by the U.S
The Fed cut its benchmark rate by 50 basis points on September 18.This difference highlights the unique economic conditions and priorities
Mexico faces challenges beyond monetary policy.In addition, financial inclusion remains a concern, with only 47% of Mexican adults holding a
bank account in 2022.This statistic underscores the need for broader access to basic financial services
