Mexican Central Bank Governor Predicts Interest Rate Cuts Amid Inflation Outlook

Victoria Rodriguez, the governor of Mexico's central bank, anticipates further cuts to the benchmark interest rate if inflation remains stable. However, she warns that Mexico's economy could stay sluggish until 2025 due to an uncertain business environment and a potential slowdown in the U.S. economy.

Victoria Rodriguez, governor of Mexico's central bank, announced plans to cut the benchmark interest rate further if inflation aligns with current expectations. These comments were conveyed through written communication with Reuters.

Rodriguez stated, "We foresee that the inflationary environment will allow us to continue with the cycle of cuts to the reference rate," reflecting an optimistic monetary policy outlook.

However, she issued a cautionary note about the uncertain business conditions, coupled with a possible economic slowdown in the U.S., which could limit Mexico's economic growth until 2025.

(With inputs from agencies.)