{"id":47059,"date":"2025-02-10T20:16:11","date_gmt":"2025-02-10T20:16:11","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/banxico-governor-stresses-vigilance-amid-mexicos-inflation-decline-our-work-is-not-done\/"},"modified":"2025-02-10T20:16:11","modified_gmt":"2025-02-10T20:16:11","slug":"banxico-governor-stresses-vigilance-amid-mexicos-inflation-decline-our-work-is-not-done","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/banxico-governor-stresses-vigilance-amid-mexicos-inflation-decline-our-work-is-not-done\/","title":{"rendered":"Banxico governor stresses vigilance amid Mexico\u2019s inflation decline: \u2018Our work is not done\u2019"},"content":{"rendered":"

(Originally posted on : Invezz )<\/b>
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The Governor of Banco de Mexico (Banxico), Victoria Rodriguez, has highlighted the central bank’s strategic approach as inflation in Mexico continues to decline.<\/p>\n

This week, Banxico reduced its benchmark interest rate by 50 basis points to 9.50%, marking its largest rate cut since it began lowering rates from a record high of 11.25% in March 2024.<\/p>\n

In an interview late Sunday, Rodriguez emphasized that the move was “no small issue,” stating that the battle against inflation has now entered a “new stage.”<\/p>\n

Mexico’s inflation<\/h2>\n

Rodriguez\u2019s remarks came just a day after Mexico\u2019s inflation rate dropped to 3.69% in January\u2014the lowest level since early 2021. <\/p>\n

The figure is approaching Banxico\u2019s target of 3% (with a tolerance range of \u00b11%).<\/p>\n

“Our work is not done,” Rodriguez stated, stressing the need for continued vigilance in monetary policy. <\/p>\n

She underscored the importance of lowering interest rates to adapt to evolving inflationary conditions while maintaining economic stability.<\/p>\n

Tariffs and trade issues <\/h2>\n

Despite Mexico\u2019s improving inflation outlook, Rodriguez acknowledged external risks, particularly the potential impact of new US tariffs on Mexican exports.<\/p>\n

According to Reuters, these trade barriers have raised concerns about Mexico\u2019s economic growth and job market stability. <\/p>\n

While cautious, Rodriguez expressed optimism that authorities from both countries would collaborate to find solutions that promote long-term economic cooperation.<\/p>\n

“We are confident that both governments will work towards greater cooperation and lasting solutions,” she said, emphasizing the need to maintain strong economic ties with the United States.<\/p>\n

Economists warn that the imposition of new tariffs could lead to economic stagnation or even “stagflation,” a scenario characterized by sluggish growth and high inflation.<\/p>\n

Rodriguez also stressed the importance of trade integration in strengthening Mexico\u2019s economy.<\/p>\n

“Mexico\u2019s integration into US production chains has been a key driver of growth. Strong economic links between both countries make a new trade deal essential for shared prosperity,” she noted.<\/p>\n

Her comments suggest that Banxico is not only focused on domestic monetary policy but also closely monitoring international trade dynamics and their impact on financial stability.<\/p>\n

Rodriguez confirmed that Banxico is keeping a close eye on any potential trade policy announcements from the US in March.<\/p>\n

Reaffirming Banxico\u2019s commitment to stability, Rodriguez assured that the central bank is prepared to take action if necessary to ensure the orderly functioning of Mexico\u2019s financial markets.<\/p>\n

“We stand ready to respond to the needs of Mexico\u2019s financial markets and safeguard stability,” she stated with conviction.<\/p>\n

As Mexico navigates a complex financial landscape, Banxico’s recent rate cut signals a positive shift in inflation management. However, the central bank remains highly attentive to external risks that could disrupt economic stability.<\/p>\n

Rodriguez will play a crucial role in steering Mexico through these domestic and international challenges, balancing national economic priorities with global economic trends.<\/p>\n

As inflation and trade relations evolve, Banxico must remain flexible and proactive, adapting its policies to ensure sustained economic growth and financial stability.<\/p>\n

The post Banxico governor stresses vigilance amid Mexico’s inflation decline: \u2018Our work is not done\u2019<\/a> appeared first on Invezz<\/a><\/p>\n

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(Originally posted on : Invezz ) The Governor of Banco de Mexico (Banxico), Victoria Rodriguez, has highlighted the central bank’s strategic approach as inflation in Mexico continues to decline. This week, Banxico reduced its benchmark interest rate by 50 basis points to 9.50%, marking its largest rate cut since it began lowering rates from a […]<\/p>\n","protected":false},"author":3947362380,"featured_media":47060,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[39],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/47059"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362380"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=47059"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/47059\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/47060"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=47059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=47059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=47059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}