Mexico’s central bank raised borrowing costs for the third consecutive meeting Thursday as policy makers struggle to slow above-target inflation, Bloomberg News reported. Banco de Mexico, known as Banxico, increased its key interest rate by a quarter-point to 4.75%, in a 4-1 split decision. All but one of 26 economists surveyed by Bloomberg predicted the 25 basis-point hike.
Aeroméxico Receives Court Approval of Extension of Exclusive Period to File Its Plan of Reorganization
The U.S. Bankruptcy Court for the Southern District of New York, which is presiding over Aeroméxico's chapter 11 voluntary financial restructuring process, granted the company's request for extensions of the plan exclusivity periods, according to a company press release. The exclusive period for filing a chapter 11 plan now expires on Oct. 8, 2021, subject to further extension as ordered by the court. On Sept. 10, 2021, the company delivered to its DIP Lenders the Final Valuation Materials and the Refinancing Qualification Certificate in accordance with the DIP Credit Agreement.
Mexico's economy expanded by 6.8% in August compared to the same month last year, as the country continued a recovery from a slump induced by the coronavirus pandemic, a preliminary estimate from national statistics agency INEGI showed on Friday, Reuters reported. A breakdown of the agency's initial figures showed that secondary activities, which include manufacturing, increased by 4.1% from August 2020, while tertiary activities, which encompass the service sector, were up by 8.3%. In July, Latin America's no. 2 economy grew by some 9.9% year-on-year, according to a preliminary estimate.