Banxico Holds Rate Putting Pressure on MXN

Mexico’s central bank held its benchmark interest rate steady on Thursday, as expected, citing risks to economic growth and potential for higher inflationary pressure due to an environment of “marked uncertainty.”

In a unanimous decision, the Bank of Mexico’s (Banxico) board members voted to hold the overnight interbank rate at 8.25 percent, its highest level since August 2008.

All 18 analysts and economists surveyed in a Reuters poll forecast that Banxico would hold the key lending rate at 8.25 percent, the level it has been at since Dec. 20.

via Reuters