Photo: International Monetary Fund

XINHUA

Mexican financial authorities announced on Friday, Nov. 20, that the country has maintained the necessary criteria for access to the Flexible Credit Line it has with the International Monetary Fund (IMF), as the economy has shown “resilience” despite the covid-19 pandemic.

The Mexican Foreign Exchange Commission reported that the IMF’s executive board completed the midterm review of the country’s credit line on, Wednesday, Nov. 18.

The commission, which consists of the Finance Secretariat and the Central Bank of Mexico (Banxico), said that the IMF pointed to Mexico’s sustainable public debt and sound public finances.

The international organization also referred to Mexico’s low and stable inflation, robust and solvent financial system, adequate international reserve position and solid monetary and exchange policy framework, the commission said.

Mexican authorities have decided to continue the current credit line of about $61 billion, despite announcing a gradual exit strategy from the mechanism in 2017.

The Flexible Credit Line was created by the IMF for countries with solid economic fundamentals.

Mexico has not used the mechanism since it was first authorized to use it in 2009.

…Nov. 23, 2020