UPDATE 1-Bank of Mexico's Espinosa flags further challenges to inflation -Reforma

(Adds background on central bank decisions, comments by Espinosa)

MEXICO CITY, April 1 (Reuters) - Mexico's central bank deputy governor Irene Espinosa expects further "headwinds" when it comes to taming inflation that did not exist a year ago, according to an interview published by newspaper Reforma on Monday.

Inflation is posing a more complex scenario than last year, Espinosa said, adding core inflation is still very persistent, especially in the services component.

Mexico's central bank decided last month to

cut its benchmark interest rate by 25 basis points

to 11.00%, in a four-to-one decision by its governing board, marking the first rate reduction since the 2021.

Espinosa was the only board member that voted to hold the rate at 11.25%.

More public spending, higher levels of consumption and minimum wage hikes were among the challenges cited by Espinosa.

The stubbornness of price increases creates an enormous responsibility to not waver in the fight against inflation, Espinosa said. (Reporting by Raul Cortes Fernandez; Writing by Valentine Hilaire; Editing by Sarah Morland)