Pause in normalisation could be bad news for EMEs – Mexico’s Guzmán

Bank of Mexico

The global pause in monetary policy normalisation could be bad news for emerging market economies, deputy governor of the Bank of Mexico, Javier Guzmán, said in a speech on April 12.

“This pause in the monetary policy tightening cycle in [advanced economies] may result in a more complex and uncertain external setting for EMEs,” Guzmán said.

While the prospect of lower rates aboard should alleviate short-term pressures on EMEs, he said, the pause is linked to a material downturn in global

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