THE PHILIPPINE peso breached the P54:$1 level on Wednesday, falling to another near 13-year low because of external factors such as widening trade deficit. “The widening trade deficit due to a weak export performance and sustained strong imports also contributes to the weak market sentiment on PHP (Philippine peso),” he said. The government had reported that the country’s trade deficit widened significantly to $3.546 billion in July, expanding the year-to-date tally to $22.490 billion. Above-target inflation has prompted monetary authorities to raise key interest rates by a total of 100 basis points since May. August’s nine-year high of 6.4 percent has raised the prospect of another rate hike when the Monetary Board meets later this month.

Source: Manila Times September 12, 2018 16:07 UTC