Banxico lowered the Benchmark interest rate to 6.5% from 6.75% as expected.
Board members Heath and Borja voted to hold rates steady
Board members Rodriguez, Mejia, and Cuadra voted to cut rates. The board was not unanimous on the rate decision. Benchmark interest rate lowered to 6.50% from 6.75%.
Headline inflation is projected to converge to target in Q2 2027. Looking ahead, the board estimates it will be appropriate to maintain the rate at its current level. Forecasts Q4 2026 average annual headline inflation at 3.5% versus previous forecast of 3.5%.