LatinNews Daily - 21 January 2026

*Economic analysts surveyed in the latest expectations survey from Citi México, a local financial group operated by US multinational investment bank and financial services corporation Citigroup Inc, have forecast that headline inflation will stand at 4.0% in 2026, unchanged from two weeks previously. Analysts forecast that core inflation will also finish the year at 4.0%. The headline inflation forecast is up from a rate of 3.69% at the end of 2025 while the forecast for core inflation is down from a rate of 4.33% at the end of last year. In terms of GDP growth, forecasts were also left unchanged from two weeks earlier, with analysts pointing to growth of 0.4% in 2025 and 1.3% in 2026. Analysts also maintained the forecast that the central bank (Banxico) will cut its benchmark interest rate by 25 basis-points to 6.75% at its next monetary policy meeting in May. Meanwhile, the Mexican peso is expected to continue strengthening against the US dollar in 2026.

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