Bank of Mexico puts growth before prices with rate cut
Economists say decision reflects concerns about possible tariff-induced recession
The governing board of the Bank of Mexico (Banxico) on May 15 lowered the target for the overnight interbank interest rate by 50 basis points to 8.50%.
A range of experts have told Central Banking that the decision reflects the central bank’s concerns about fending off a possible recession in Mexico – one that would be driven in large part by US president Donald Trump’s trade policies.
Héctor Cárdenas Suárez, public policy lecturer at the University of California, Berkeley, says the decision was
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