mexico

Agustin Carstens has advocated the continued independence of Mexico’s central bank, and promised greater openness and transparency to the senators who will vote to ratify his nomination as chief. The incumbent, Guillermo Ortiz, will apparently stop chairing the Bank of International Settlements if – as looks likely – he leaves the Bank of Mexico. Carstens is a likely replacement. Does anyone know what Ortiz will do?

Mexico has just been downgraded to BBB from BBB+ by Moody’s, following a similar downgrade by Fitch on November 23. Read more

Adam Thomson of the Financial Times writes about the political implications of Mexico’s newly nominated central bank governor Read more

The Mexican president has named finance minister Agustín Carstens as the next central bank governor. Ernesto Cordero, who until this week headed Sedesol, the country’s social development ministry, will take over from Mr Carstens. Insiders say that the move also allowed Mr Calderón to install another confidante in a key ministry – an emerging pattern not lost on political analysts – in the form of Mr Cordero. 

Read more at ft.com

Rumours are circulating that Mexico’s centre-right president wants a new central bank governor.

The speculation has gone down badly with bankers, who respect the incumbent, Guillermo Ortiz, and want him to remain in office while the country struggles with recession. Mr Ortiz, identified more with the opposition party, also chairs the board of the Bank for International Settlements, the central bank for central banks. Read more