Bank of Mexico lowers interest rate to 7.25%, cites concerns

MEXICO CITY — Mexico’s central bank lowered its benchmark interest rate by a quarter-point from 7.5% to 7.25%. on Thursday, citing a sluggish global economy and continued weakness for the country’s own outlook.

The Bank of Mexico said in a statement that Mexico has seen recent positive activity, such as a stronger peso, in part as a result of the agreement on the USMCA trade pact poised to replace the North American Free Trade Agreement with the United States and Canada.

But it said uncertainty remains about things such as debt ratings for the country and state oil company Pemex.

“While the information available for the fourth quarter of 2019 is limited, it is estimated that the weakness (Mexican) economic activity has been recording for several quarters will persist,” the bank said in a statement.

“In an environment of marked uncertainty,” it continued, “the balance of risks for growth continues slanting downward.”

The first three quarters under Mexican President Andrés Manuel López Obrador, who took office in December 2018, were marked by GDP growth around zero.

Similar News

Source: Boy was decapitated on waterslide at Kansas park

Aug 11, 2016

The 10-year-old boy killed during a ride on the world's tallest waterslide was decapitated, a person familiar with the investigation said Wednesday

Australian official rejects criticisms of China investor ban

Aug 12, 2016

Australia's treasurer has rejected accusations that the true reason his government plans to ban Chinese bidders from leasing a Sydney electricity grid is to appease influential lawmakers with xenophobic views

Clinton knocks 'outlandish Trumpian ideas' in policy speech

Aug 11, 2016

Hillary Clinton sought to undercut Donald Trump's claim to working class voters Thursday, portraying her Republican rival as untrustworthy on economic issues, and pushing policies that would only benefit the super-wealthy _ himself included

Broaden