I would like to thank the Institute of International Finance (IIF) for the invitation to discuss some of the challenges Mexico and other Latin American economies are facing from the point of view of the Central Bank.
The local unit was not immune to the broad sell-off in the emerging market foreign exchange (FX) complex, which began last April and accelerated into September. The rand reached a ‘peak’ of R15.42 against the US dollar on 5 September 2018, while the nominal effective exchange rate depreciated to an over two-year low of 53.81.