The Bank of Mexico has cut its policy rate for the fourth time this year, as inflation remains subdued and growth weak.

On December 19, the governing board voted for a 25 basis point cut, bringing the main rate to 7.25%. One board member voted instead for a 50 basis point cut.

“The weakness that economic activity has been exhibiting for several quarters is expected to persist,” the board says in its policy statement. Policy-makers called on the government to implement measures to “foster an