Mexico’s monetary policy should remain tight, IMF says – Central Banking
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Banxico should strengthen comms and limit government bond purchases to short end of curve, fund adds
The IMF
The International Monetary Fund has said the Bank of Mexico (Banxico) should lock in disinflation by maintaining a “moderately tight” monetary policy stance.
“Lingering price pressures warrant maintaining a cautious monetary policy stance until inflation is firmly converging to target,” the institution said in a statement on October 2 following an Article IV mission in September. Banxico targets inflation of 3%, plus or minus a percentage point.
Inflation in Mexico has eased in recent months
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