Advanced Search

LatinNews Daily - 19 August 2021

Click here for printer friendly version
Click here for full report

In brief: Mexico’s López Obrador criticises Banxico

* Mexico’s President Andrés Manuel López Obrador has expressed his support for the decision by the central bank (Banxico) to increase the interest rate to contain inflation, although he criticised Banxico’s lack of focus on economic growth. This comes after Banxico raised its benchmark interest rate to 4.5% last week. “As there has been an increase in inflation, they are taking the measure of increasing the interest rate; they are doing this – and I respect their decision – because inflation must be controlled. But in my view it should look at inflation and growth... for a long time it has only looked at inflation", López Obrador complained.  Mexico’s annual inflation rate stood at 5.71% in July. López Obrador stressed that his government would do “everything” it can to avoid an increase in prices but also stimulate economic growth. .