Outgoing Mexican central bank Governor Agustin Carstens warned Mexico’s next president that it would be very difficult and counterproductive to try to change Banco de Mexico’s exclusive inflation mandate.
Latin America’s second-largest economy will elect a new president in July 2018. After more than three decades of free-market technocrats, Mexicans could pick a leader who has threatened to implement changes to Mexico’s economic model, and could seek to give the central bank additional mandates such as employment or growth. Current front-runner and leftist firebrand Andres Manuel Lopez Obrador has recently acknowledged the importance of the central bank’s autonomy in helping to tame inflation.
In an interview with Bloomberg, Carstens said he’s confident that all of the presidential candidates will respect the central bank’s independence.