Mexico's annual inflation rate slowed slightly more than expected in January, official data showed on Friday, after the central bank accelerated the pace of its interest rate cuts and signaled more monetary easing ahead.

Mexico’s inflation slowed more than expected in January, supporting the central bank’s decision to deliver a half-point cut to its benchmark interest rate and signal additional reductions of the same magnitude.

Mexico's annual inflation rate likely slid to its lowest level in four years in January, a Reuters poll of analysts predicted on Thursday, boosting bets the central bank will continue to lower borrowing costs.