Victoria Rodríguez and Banxico will not give truce to inflation

Victoria Rodríguez and Banxico will not give truce to inflation

“The staff has a high level of professionalism and they have made me feel very welcome, as have my colleagues on the Governing Board, which for the first time has a majority of women,” he assured.

This Thursday, Banxico raised its interest rate to 6% and warned that the risks of inflation come from an external factor.

“It has been observed that the prices of raw materials began to decline. However, we know that there is a lag in the price pass-through, so we still do not see the reduction in food merchandise. We are waiting for this decrease to materialize in the next dates and it is one of the variables that we are obviously going to have to continue to observe very carefully from now on,” said the central banker.

in January, headline inflation reached a level of 7.07% , a figure slightly lower than the 7.36% registered in December. Inflation was pressured by the increase in the price of foods such as lemons, potatoes, bananas and avocados.

When questioning her about the pressures for the withdrawal of stimuli that the Federal Reserve in the United States (Fed) plans to do in the following months, Victoria Rodríguez said that as it is the main central bank at a global level, the financial markets have reacted to the withdrawal of stimuli monetary.

“The tightening of financial conditions represents a very important challenge for us, the implications of the decisions made by the Fed on the conduct of monetary policy occur mainly through the financial channel and these decisions could have some implication of the behavior of the peso, the dollar and the yield curve of government securities. However, this does not necessarily imply that each movement will be accompanied by a similar one,” he stressed.

The governor said that although the decisions of the Federal Reserve are an important factor to consider when making its monetary policy decision, a wide range of factors and scenarios are also contemplated. “The Fed’s decision, while important, is not the only factor.”

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