Mexican Central Bank Says Market Risks Remain, Extends Credit Measures

In an attempt to help its battered economy recover from the impact of the coronavirus pandemic, Mexico’s central bank said on Tuesday that it has extended measures designed to strengthen credit channels and provide liquidity in the financial system, Reuters reported. Banxico said liquidity facilities first announced in April will be extended until the end of February 2021, while a government securities repurchase window is being increased by a further 50 billion pesos ($2.37 billion). So far, Banxico said, the measures have been successful. Deputy Finance Minister Gabriel Yorio told Reuters in an interview last week that the ministry was talking to the banking industry and the central bank with an eye to extending relaxed banking credit rules to avoid defaults and loss of collateral. Read more