Article: Mexico to Maintain Floating Exchange Rate

Mexico will keep its floating exchange rate in a bid to reduce inflation, Central Bank governor Miguel Mancera said here today.

Addressing a meeting of the Mexican Stock Exchange, Miguel Mancera rejected the idea of a fixed exchange rate, but he admitted the floating exchange rate also produces diverse problems.

He emphasized that monetary policy should aim at lowering inflation, stabilizing the purchasing power of the national currency and contributing more effectively to economic development. On the prospect of inflation, the Banco de Mexico official predicted that the inflation rate in April will not be as high as mentioned in many forecasts. "In fact, according to the information ...

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