18.12.202519:00:00UTC+00Mexico Eases Monetary Policy with Interest Rate Cut to 7.00%

In a move aiming to boost the national economy, the Bank of Mexico has announced a reduction in its benchmark interest rate to 7.00%, down from 7.25%. This decision, which took effect in December 2025, marks a pivotal shift in the country’s monetary policy since the previous rate adjustment in November 2025.

The rate cut, announced on 18 December 2025, reflects the central bank's ongoing efforts to navigate economic challenges and stimulate growth within the Mexican economy. The central bank's decision to lower the interest rate comes at a time when economic indicators suggest a need for an accommodative stance to foster economic activity.

As businesses and consumers adjust to the new rate environment, the central bank will closely monitor the impacts on inflation and economic growth. This change in policy underscores the Bank of Mexico's readiness to adapt its strategies in response to evolving economic conditions. Investors and market participants are now watching closely to see how this rate reduction will ripple through various sectors of the Mexican economy.