Banxico Says CPI Converges Towards 3% by End of 2018

The transcript discusses economic strategies focusing on inflation, competitiveness, and monetary tools. It highlights Mexico's approach to managing corporate rates, attracting FDI, and using fiscal policy to enhance competitiveness. The role of the Mexican Central Bank and Finance Ministry in controlling currency volatility is also examined, emphasizing the importance of maintaining orderly conditions in the FX market.

What is the expected inflation rate by the end of next year, according to the transcript?

• 2%

• 5%

• 3%

• 4%

Which factor is NOT mentioned as a condition for inflation convergence?

• Government spending

• Labor market pressures

• Supply shocks

• Financial market conditions

What is one of the challenges mentioned for Mexico in retaining FDI flows?

• High corporate taxes

• Lack of natural resources

• Global competition

• Political instability

What is a key element in improving Mexico's competitiveness according to the transcript?

• Expanding the tourism sector

• Increasing government subsidies

• Enhancing labor productivity

• Reducing import tariffs

What tool was recently added to the Mexican Central Bank's toolkit for managing currency volatility?

• Non-deliverable forwards

• Interest rate swaps

• Currency pegs

• Gold reserves