IMF praises Bank of Mexico for not intervening in forex market

Bank of Mexico

The International Monetary Fund has praised the Bank of Mexico for choosing not to take action against peso movements in recent months.

Over 2019, the central bank has been easing monetary policy in the context of widening negative output gap and declining inflation. In August, it reduced interest rates by 25 basis points. A month later it repeated the action, leaving interest rates at 7.75%.

“Meanwhile, it did not intervene in the market, which allowed the peso to adjust freely to shocks,”

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: