Philippine Peso Falls to New Record Low
2026-03-23 04:47
By
Erika Ordonez
1 min. read
The Philippine peso weakened to around 60.2 per dollar, marking a new record low, as escalating Middle East tensions and rising oil prices pressured the currency.
Threats of strikes on energy infrastructure in the Gulf and broader geopolitical risk fueled safe-haven demand for the US dollar, while foreign selling of local assets added to the decline.
The peso has dropped 4.2% this month, ranking among Asia’s worst-performing currencies.
The country’s heavy reliance on energy imports and a persistent trade deficit amplify vulnerability, while broader risk-off sentiment across Asian markets adds to pressure.
Meanwhile, the BSP has limited interventions to temper volatility rather than defend a specific level, and prolonged oil above $100/barrel could force a policy pivot.
Fiscal strains are rising, with higher borrowing costs highlighting the need for reforms and measures to support energy security and domestic demand.