Mexico to present inflation containment plan crafted with business

The plan will be presented on May 4 and include "price guarantees" and a deal with large producers, distributors and retailers to help contain price increases in various products, Lopez Obrador said in a regular news conference. "We are also considering boosting productive activities, especially those related to farming," he told reporters.

The Mexican government next week will unveil an inflation control plan that centers on guaranteeing prices for certain staples and agreements with business groups, President Andres Manuel Lopez Obrador said on Wednesday.

Inflation has been running at more than double the Bank of Mexico's target rate, prompting the central bank to raise its benchmark interest rate by 250 basis points over the past seven monetary policy meetings to 6.50%. The plan will be presented on May 4 and include "price guarantees" and a deal with large producers, distributors and retailers to help contain price increases in various products, Lopez Obrador said in a regular news conference.

"We are also considering boosting productive activities, especially those related to farming," he told reporters. Mexico's central bank targets inflation of 3%, plus or minus one percentage point. Consumer price inflation was running at 7.72% during the first half of April.