Peso-Dollar Exchange Rate May Almost Reach P50 By End of 2016

Banks are expecting the peso to reach almost P50 by the end of 2016, according to reports.


Three of the country’s biggest banks, BDO-Unibank, Metrobank, and Bank of the Philippine Islands (BPI) believe that the peso may close anywhere between P48-P49 by end of the year.

Despite the weakening of the peso, Finance Secretary Sonny Dominguez is reportedly unfazed, saying that the peso slipping is not necessarily negative.

Exporters who can exchange the dollar payments at a higher cost for pesos benefit from this as well. Remittances from OFWs as well as the BPO industry also contribute to the peso versus dollar performance.

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