MNI BRIEF: All Banxico Members Mentioned Economy Slow- Minutes

Most members of the Central Bank of Mexico’s board highlighted the progress in resolving the inflationary episode stemming from global shocks, and all of them noted that the economy has kept slowing, according to the minutes of the latest policy meeting released Thursday.

The board reiterated that it may continue calibrating the monetary policy stance and consider adjusting borrowing costs “in similar magnitudes.”

"All members mentioned that the Mexican economy has continued decelerating. Specifically, most members noted that economic activity contracted in the fourth quarter of 2024. They noted that the contraction was driven by declines in primary and secondary activities, while tertiary activities slowed down," the document stated.

The minutes also noted the impact of escalating trade tensions on international financial markets.

Banxico cut its interest rate by 50 basis points to 9.00% last month and signaled it would deliver at least one more cut of the same magnitude at its next meeting in May. (See MNI INTERVIEW: Banxico Limited In Ability To Respond To Trump)