MEXICO CITY (Reuters) – Mexico’s central bank lowered its benchmark interest rate to 10.75%, the monetary authority announced on Thursday, in a divided vote that cut the key borrowing rate from 11.00%.
Three members of the bank’s board voted to lower the rate by 25 basis points, while two others sought to hold it, according to a statement.
The bank noted in its decision that it expects inflationary pressures in Latin America’s No. 2 economy to allow for further discussion of rate adjustments going forward.
The decision by Banxico, as the central bank is known, to cut rates went against a Reuters poll from earlier this week, in which a narrow majority of analysts surveyed expected the bank to keep the rate steady at 11%.
(Reporting by Ana Isabel Martinez, Adriana Barrera and Aida Pelaez-Fernandez; Editing by David Alire Garica)
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