The peso could regain some strength as the year ends and help mitigate above-target inflation, a senior Bangko Sentral ng Pilipinas (BSP) official said on Tuesday. Monetary authorities, Guinigundo said, expect the peso to receive a yearend lift from overseas Filipino (OFW) worker remittances and business process outsourcing (BPO) receipts. This is the holiday season, so we would expect that the exchange rate will start shaping up,” he said. Guinigundo said the central bank still expected inflation to peak in the third quarter before easing for the rest of the year. “Let’s just say that even the weakening of the peso was not projected but there are factors at work, amongst which is the need for capital imports because of the ‘Build Build Build’,” he said.

Source: Manila Times September 18, 2018 16:30 UTC