Economy & Business - January 2022

MEXICO | Raising benchmark interest rate again. On 16 December Mexico’s central bank (Banxico) raised its benchmark interest rate by 50 basis points to 5.5%, as it ups efforts to rein in inflation. This is the biggest of five consecutive rate hikes, following increases of 25 basis points in November, September, August, and June. Banxico said in a statement that the decision was taken in response to inflationary pressures, after Mexico registered annual inflation of 7.37% in November, well above Banxico’s 3% +/-1 inflation target range for 2021.