Skip to content
Subscriber Only

Mexico Lifts Rate for 7th Straight Time, Signals End of Cycle

  • Decision matches estimate of 26 of 27 economists surveyed
  • Banxico says new rate consistent with CPI converging to target
Video player cover image

Carstens Says Mexico Rate Pause May Last Through Fed Hike

Updated on

Mexico’s central bank raised borrowing costs for a seventh straight time, saying the new interest rate level is consistent with "efficient convergence" of inflation toward target.

Led by Governor Agustin Carstens, Banco de Mexico increased its key rate 25 basis points to 7 percent, in line with the estimate of 26 of 27 economists surveyed by Bloomberg. One economist expected a pause. One of the policy makers on the central bank board voted to keep rates on hold, according to the statement accompanying the decision.