Mexico asks business leaders not to 'abuse' prices amid high inflation – Reuters
Mexico's President Andres Manuel Lopez Obrador listens to the President of the Supreme Court of Justice (SCJN) Arturo Zaldivar delivering his third annual report, at the Court premises in Mexico City, Mexico December 15, 2021. REUTERS/Gustavo Graf/File Photo
MEXICO CITY, Dec 17 (Reuters) – Mexican President Andres Manuel Lopez Obrador said on Friday his administration had spoken with one of the country's top business associations to ask for help persuading companies not to raise prices in the face of high inflation.
Mexican inflation in November was 7.37%, the highest level in two decades. The central bank on Thursday stepped up efforts to rein in price pressures by raising its benchmark interest rate 50 basis points to 5.50%, outpacing market expectations.
Lopez Obrador said some business leaders were abusing prices with 15% to 20% increases, even though inflation is lower.
"The finance minister has already spoken with the president of the Business Coordinating Council (CCE) to help us by speaking with businessmen so that (prices) are not abused," he told a regular news conference.
"We're going to take great care of inflation, it's a very important task," he added.
The CCE is arguably Mexico's most influential business lobby.
Lopez Obrador said inflation was a global phenomenon but that he was hopeful it would be temporary.
Our Standards: The Thomson Reuters Trust Principles.
Subscribe for our daily curated newsletter to receive the latest exclusive Reuters coverage delivered to your inbox.
Reuters, the news and media division of Thomson Reuters, is the world’s largest multimedia news provider, reaching billions of people worldwide every day. Reuters provides business, financial, national and international news to professionals via desktop terminals, the world's media organizations, industry events and directly to consumers.
Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology.
The most comprehensive solution to manage all your complex and ever-expanding tax and compliance needs.
The industry leader for online information for tax, accounting and finance professionals.
Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile.
Browse an unrivalled portfolio of real-time and historical market data and insights from worldwide sources and experts.
Screen for heightened risk individual and entities globally to help uncover hidden risks in business relationships and human networks.
All quotes delayed a minimum of 15 minutes. See here for a complete list of exchanges and delays.
© 2021 Reuters. All rights reserved
