Mexico’s president pledged to press ahead with judicial reforms that have made investors nervous, and suggested remittances would shore up the country’s economy. President Andrés Manuel López Obrador discounted the 7% drop in the value of the peso against the U.S. dollar in the week following Sunday’s elections and claimed Mexico's economy was sound. He predicted this year Mexico would see a record $65 billion in remittances, the money sent home by migrants working abroad.
Mexico also continues to struggle with persistently high inflation of nearly 5%, despite high domestic interest rates of 11%. Those high returns on government securities had also tended to shore up the value of the Mexican peso over the last year.
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