Mexico's Banxico Cuts Overnight Rate by 25 Basis Points to 7.25% as Global Uncertainty Clouds Outlook

Banco de México reduced its overnight interbank interest rate by 25 basis points to 7.25% at its November 2025 monetary policy meeting, extending its easing cycle. The decision was published through an official statement on Banxico's website.

The decision was not unanimous. Board member Jonathan Heath dissented from the majority position, preferring to hold the rate steady at 7.50%.

GOVERNING BOARD CITES GLOBAL RISKS

The Governing Board noted in its statement that the global environment remains uncertain.

PACE OF EASING

A 25-basis-point reduction keeps to the slower pace Banxico adopted in August 2025, after a run of 50-basis-point cuts in the first half of 2025.