Mexico raises interest rates to counter financial effect of Donald Trump campaign

NEWYou can now listen to Fox News articles!

The head of Mexico's central bank says U.S. Republican candidate Donald Trump represents a "hurricane" sized threat to Mexico.

Banco de Mexico Gov. Agustín Carstens told the Radio Formula network on Friday that a Trump presidency "would be a hurricane, and a particularly intense one if he fulfills what he has been saying in his campaign."

Trump has proposed building a wall along the border and re-negotiating the North American Free Trade Agreement.

Mexico's central bank raised its prime lending rate by half a percent to 4.75 percent on Thursday, citing "nervousness surrounding the possible consequences of the U.S. elections, whose implications for Mexico could be particularly significant."

Mexico's peso had lost about 6 percent in value against the dollar since mid-August. It recovered slightly after the rate hike.

More On This...

Like us on Facebook
Follow us on Twitter & Instagram