Philippine peso hits 30th record low of 2026
The currency closed at ₱63.52 per US$1 as inflation concerns weighed on trading and the central bank lifted its 2027 inflation forecast.
A 15.9-centavo decline took the Philippine peso to ₱63.52 per US$1 at the close on October 22, marking its 30th record low in 2026. The fall came as rising global oil prices during the Middle East conflict heightened concerns about inflation.
An unnamed local trader said growing worries about domestic inflation were behind the currency’s latest decline and could push it lower still.
The Bangko Sentral ng Pilipinas (BSP) now projects inflation of 6.0% for 2027, compared with its earlier estimate of 5.4%. It cited changes in global oil prices among the factors behind the revision. Forecasts for 2026 and 2028 were unchanged at 6.1% and 3.3%, respectively. The 2026 estimate remains above the BSP’s 2.0% to 4.0% target.
Speaking to reporters in Manila City, BSP governor Eli Remolona Jr. expressed concern that a weaker peso could add to inflation. He said conditions remained below the central bank’s threshold for an inflationary exchange-rate move, but withheld details to avoid encouraging speculation.
Remolona said market forces, rather than a level defended by the BSP, determine the exchange rate. He described intervention as a way to dampen currency swings while limiting the use of reserves.
