· At the request of the Finance Secretariat and the Bank of Mexico, the IMF assessed the characteristics of the Mexican economy and its strengths, and decided to extend the Flexible Credit Line to Mexico from $65 to $88 billion USD: Luis Videgaray.
President Enrique Peña Nieto said that the expansion of the Flexible Credit Line for Mexico, announced today by the International Monetary Fund (IMF), “is nothing more than an endorsement of the strengths of our country’s economy: an economy that is growing and creating jobs; an economy that maintains low inflation rates and is showing greater internal dynamism.
During the presentation of the Research Awards of the Mexican Academy of Sciences 2015, the president said that the IMF, “Is making us truly creditworthy through this flexible credit line, which gives us two important advantages: first, better protection from the world’s volatile financial environment and second, recognition of the development of our economy,” said President Enrique Peña Nieto.
He stressed that as a result of the volatile international financial context, Mexico has acted responsibly to care for “our macroeconomic fundamentals, what gives us greater vitality, and above all, allows us to have a good letter of presentation to the whole world.”
President Peña Nieto said that the IMF has only granted only three countries an extension of the flexible credit line like the one it announced for Mexico today.
THE IMF’S FLEXIBLE CREDIT LINE FOR MEXICO IMF HAS BEEN INCREASED FROM 65 TO 88 BILLION USD: LUIS VIDEGARAY
Finance and Public Credit Secretary Luis Videgaray Caso said that the IMF's announcement to extend the Flexible Credit Line to Mexico for another two years and increase it from 65 billion to 88 billion USD is good news for the country in two ways:
Because it confirms Mexico's economic strength, particularly the strength of its macroeconomic policy, including its fiscal policy, and because it “provides us with an important tool to protect our country from the lack of liquidity in financial markets.”
He noted that Mexico is one of only three countries in the world with this instrument which allows it, together with International Reserves, to cope with decreased liquidity, high volatility and risk aversion in international financial markets.
He explained that it was at the request of the Finance and Public Credit Secretariat and the Bank of Mexico that the IMF assessed the characteristics of the Mexican economy and its strengths and made the decision that Mexico should not only continue to have the Flexible Credit Line, but also that it should be extended.