Mexico’s central bank isn’t committed to a pace of half-point increases to its benchmark interest rate after delivering a hike of that magnitude in December, according to outgoing Governor Alejandro Diaz de Leon, Bloomberg News reported. The bank announced a bigger-than-expected increaseto borrowing costs last week, following four straight quarter-point hikes, in an effort to combat skyrocketing inflation. Diaz de Leon, who leaves office at year-end, said policy makers are navigating “uncharted territory” and shouldn’t constrain themselves before future decisions.

An Aeromexico creditor on Monday objected to the Mexican airline's restructuring plan to emerge from Chapter 11 bankruptcy, saying the proposal would unfairly benefit majority shareholder Delta Air Lines Inc., Reuters reported. Invictus Global Management said in a public letter to Delta's board of directors that it opposed the plan put forward by Aeromexico. Aeromexico last week said that an unnamed third party would make a tender offer valuing its outstanding shares at a fraction of their previous market price as part of its efforts to emerge from bankruptcy.

The Archdiocese of St. John’s in New Foundland says that it may be forced to file for creditor protection under the Bankruptcy and Insolvency Act, SaltWire.com reported. “This action, if pursued, is intended to provide the archdiocese with additional time to complete the evaluation of our assets, formally call for claims against the archdiocese, and develop a proposal for our creditors to settle victims’ claims and creditor liabilities," Archbishop Peter Hundt said in a statement released Sunday, Dec. 19.

Mexican carrier Aeromexico on Thursday said an unnamed third party would make a tender offer valuing its oustanding shares at a fraction of their previous market price as part of its efforts to emerge from bankruptcy, Reuters reported. News of the planned tender offer, which would offer 0.01 peso for each outstanding share, sent its shares tumbling nearly 75%. Shares in the company, which filed for Chapter 11 bankruptcy protection in the United States last year amid the pandemic, closed at 3.89 pesos on Wednesday. They were trading at 1.84 pesos in early afternoon in Mexico.

Cineworld Group Plc plunged as much as 40% after a court ordered the world’s second-largest cinema chain to pay nearly $1 billion in damages -- more than its entire market value -- over an aborted takeover bid, Bloomberg News reported. A Canadian court ordered the British company to pay the money on Tuesday after it scrapped a plan to buy Toronto-based Cineplex Inc. as the pandemic forced entertainment venues to close. The $1.6 billion deal would have made Cineworld North America’s largest movie-theater operator.

The Bank of Canada will likely need to lower rates to their effective lower bound (ELB) more often in the future and will therefore have to use alternative stimulus to a greater extent to tackle shocks, Governor Tiff Macklem said on Wednesday, Reuters reported. Macklem, in a virtual speech to a business audience, said the low global interest rate environment meant the bank would have to rely on tools like forward guidance and quantitative easing more often going forward. "A lower neutral interest rate means we are likely to need to use these policy tools more often in the future.

Parliament has passed amendments to the Companies Act that reform Cayman’s restructuring regime for insolvent companies, the Cayman Compass reported. The changes introduce a formal restructuring procedure under the supervision of a restructuring officer outside the traditional winding-up process. Distressed companies can now apply to the Grand Court for a restructuring officer to be appointed when the company is unable to pay its debt and aims to present an alternative arrangement or compromise to its creditors.

Canada dramatically hardened its tone with Washington in a dispute over proposed U.S. credits for electric vehicles on Friday, threatening to slap tariffs on a range of American goods unless the matter was resolved, Reuters reported. In a letter to senior members of the U.S. Senate, Finance Minister Chrystia Freeland and Trade Minister Mary Ng also said Canada was ready to launch a dispute settlement process under the U.S.-Mexico-Canada (USMCA) trade deal.

In the aftermath of disastrous floods last month that cut off Canada's main port, Ottawa will convene a summit of industry figures and shippers to discuss strengthening supply chains, a government source said on Sunday, Reuters reported. The event will take place in early 2022. Canadian transportation supply chains have been badly hit by the COVID-19 pandemic and the floods and landslides in the Pacific Coast province of British Columbia.

Mexican annual inflation accelerated faster than expected in November to its highest level in over two decades, official data showed on Thursday, reinforcing bets the central bank will raise its benchmark interest rate again when it meets next week, Bloomberg News reported. Figures from national statistics agency INEGI showed inflation in Latin America's No. 2 economy jumped to 7.37% last month from 6.24% in October. That compared with the consensus forecast of a Reuters poll for 7.22%.