During the second quarter of 2020, Mexico's economy reported a fall of 18.7% compared to the same period last year, confirmed by the Inegi, a historical contraction of the Gross Domestic Product (GDP) as a result of the COVID-19, mainly due to the closing of businesses and the suspension of activities to avoid further contagion.
The Bank of Mexico (Banxico) reported that the monetary base (banknotes and coins in circulation and bank deposits in the current account at the Bank of Mexico) increased $5.879 billion pesos, reaching a balance of $1.92 trillion pesos.
The Bank of Mexico (Banxico) will cut the reference interest rate by 50 basis points to 5%, which would mean its lowest level since September 2016 and its ninth consecutive cut.
Inflation in Mexico in May was below the forecast, reported Reuters on June 9. According to the report of the national statistics agency INEGI, annual inflation in May increased to 2.84% from the April indicator of 2.15%.
The federal government's announcement on the delivery and advancement of economic transfers already scheduled for this year 2020 on the occasion of Covid-19 has brought to the discussion table (again) whether the establishment of a Universal Basic Income (UBI) would be a generalized solution that would allow the entire population to be protected,...
