Mexico cenbank flags growth concerns, sees inflation falling

MEXICO CITY Fri May 10, 2013 10:13am EDT

Related Topics

MEXICO CITY May 10 (Reuters) - Most of Mexico's central bank board members see downside risks to growth and no generalized price pressures following a recent jump in fresh food prices, minutes of the central bank's April meeting showed on Friday.

The minutes showed the decision to keep interest rates on hold at 4 percent was unanimous, unlike the previous decision, when the board split 4-1 over a 50 basis point rate cut.

The Banco de Mexico is juggling signs of slowing growth with a spike in inflation, which it is betting will be temporary and abate in the second half of the year. The majority of members thought it would be a mistake to raise interest rates to try to tame the recent jump in volatile, non-core prices, the minutes showed.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.