Mexico Buys Back $3 billion in Government Debt
World crisis has been hitting Mexico market as well, strategies are being executed in an attempt to ease the financial madness.
Thousands of people are being layed off from their jobs including Billionaire Caarlos Slim company TELMEX. "Every friday somebody receives a white envelope with the tragic news" expressed a long time employee.
Mexico moved to inject cash into its financial markets Thursday, saying it will buy back $3 billion in government bonds.
Mexican finance officials made the announcement Thursday, saying the country will buy back the 10 to 30-year fixed rate bonds in order to strengthen liquidity in the cash-squeezed markets.
Word of the plan caused Mexico's peso to strengthen, trading at 12.7 to the dollar.
Separately, Mexico is being helped by a "swap" accord with the U.S. central bank. The Federal Reserve said Wednesday it will provide $30 billion in credit to the central banks of Mexico, Brazil, South Korea and Singapore to help those countries deal with the global credit crisis.