Philippine Peso Sinks to P64 Against Dollar, New Record Low
The currency's latest depreciation on 27 October marks its 32nd record low this year, as the Bangko Sentral ng Pilipinas maintains its non-intervention policy.
Peso Reaches Historic P64 Mark
The Philippine peso depreciated to a new historic low of P64 against the US dollar on Tuesday, 27 October 2026. This marks the 32nd time this year the currency has closed at a record low, and the fifth consecutive trading day of decline.
Data from the Bankers Association of the Philippines showed the peso opened at P63.93 on Tuesday, just two centavos below Monday's closing rate of P63.95.
BSP Maintains Non-Intervention Policy
Despite the ongoing depreciation, the Bangko Sentral ng Pilipinas (BSP) is not currently intervening to support the peso. BSP Governor Benjamin Remolona Jr. stated last week that the central bank assesses the peso's movement against inflationary thresholds. Intervention would only occur if the currency's decline is projected to significantly fuel inflation.
Inflationary Pressures Increase
A weaker peso typically increases the cost of imported goods, contributing to broader inflationary pressures within the economy. This currency trend also raises the peso equivalent of foreign-currency obligations, impacting companies and the government in servicing external debt. Businesses reliant on imports face higher operational costs.
Companies operating in the Philippines should anticipate continued pressure on import costs and potentially higher debt servicing expenses for foreign-currency denominated loans.
Investors will closely monitor the BSP for any shift in its non-intervention stance, particularly if official inflation data indicates that the peso's depreciation is translating into significant price increases for consumers. The next inflation report will be key.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
Comments.
Comments are moderated. We remove what is unlawful, abusive or off-topic, and and you remain responsible for what you post.
Reader comments open soon. Until then, corrections and responses go to our newsroom, and we publish what we get wrong on Corrections.