Banxico Fears that Markets ‘No Longer Believe Him’ because of Differences in Inflation Forecasts

The Board of Government of the Bank of Mexico is concerned about its credibility before the markets, noting that the difference between the inflation forecasts of the Central Bank and those of analysts is an outstanding challenge. In the minutes of this month’s monetary policy meeting, a member of the Board stressed that the difference between the forecasts could have an effect on Banxico’s credibility. The members of the Board of Government dis…