Latest Stories

Peso hits highest value in 5 years at 40.70 to dollar



MANILA, Philippines—The peso closed at a new five-year high on Thursday, buoyed by higher risk appetite among investors who believed the Philippines would continue to enjoy rising dollar inflows over the short term.

The local currency closed at 40.70 against the US dollar, up by 8.5 centavos from the previous day’s finish of 40.785:$1.

It was also the strongest in nearly five years. The last time the peso closed stronger was on March 6, 2008, when it hit 40.56:$1.

Intraday high hit 40.69:$1, while intraday low settled at 40.79:$1. Volume of trade amounted to $1.23 billion from $773 million previously.

Some investors see the peso to rise further, citing government projections that remittances and foreign investments in the business process sourcing sector will remain robust. Yield seekers would like to take advantage of the situation by purchasing peso-denominated securities.

“The strength of the peso is being driven by the strength of the balance of payments, particularly components of the current account. Remittances remain solid and there are aggressive expansion plans in the BPO sector,” Sameer Goel, head for Asian rates and currency strategy at Deutsche Bank, said in a press briefing Thursday.

Deutsche projects the peso to strengthen to the 38-to-a-dollar territory by the end of this year.

Remittances were estimated to have amounted to over $21 billion last year. The BPO sector is projected to sustain double-digit growth over the next few years, aided by foreign investments.

Follow Us

Follow us on Facebook Follow on Twitter Follow on Twitter

Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: business and finance , currencies , economy , Foreign Exchange , Philippine peso , US dollar


    Breath of fresh air. Peso at its strongest in the last 5 years.

  • carlcid

    Is this something to be crowing about?

Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94


  • What Went Before: Malacañang allies alleged involvement in pork scam
  • Timeline: Napoles tell-all
  • 12 senators on Napoles ‘pork’ list, says Lacson
  • Napoles surgery in Makati hospital successful
  • Save the queen? Aide takes fall for Enrile, Gigi Reyes
  • Sports

  • Mixers trim Aces; Painters repulse Bolts
  • Donaire junks Garcia as coach, taps father
  • ’Bye Ginebra: No heavy heart this time
  • UAAP board tackles new rules
  • Baguio climb to decide Le Tour de Filipinas
  • Lifestyle

  • The best flavors of summer in one bite, and more
  • Homemade yogurt, bread blended with pizza, even ramen
  • Visiting chefs from Denmark get creative with ‘ube,’ ‘ buko,’ ‘calamansi,’ mangoes
  • Salted baked potatoes
  • A first in a mall: Authentic Greek yogurt–made fresh in front of diners
  • Entertainment

  • Return of ‘Ibong Adarna’
  • Practical Phytos plans his future
  • In love … with acting
  • From prison to the peak of success
  • ‘Asedillo’ location thrives
  • Business

  • This time, BIR goes after florists
  • Philippine Airlines to stop shipment of shark fins
  • PH banks not ready for Asean integration
  • Stocks down on profit-taking
  • Banks allowed to use ‘cloud’
  • Technology

  • ‘Unlimited’ Internet promos not really limitless; lawmakers call for probe
  • Viber releases new design for iPhone, comes to Blackberry 10 for the first time
  • Engineers create a world of difference
  • Bam Aquino becomes Master Splinter’s son after Wiki hack
  • Mark Caguioa lambasts Ginebra teammates on Twitter
  • Opinion

  • Editorial cartoon, April 24, 2014
  • Talking to Janet
  • Respite
  • Bucket list
  • JPII in 1981: walking a tightrope
  • Global Nation

  • PH seeks ‘clearer assurance’ from US
  • China and rivals sign naval pact to ease maritime tensions
  • What Went Before: Manila bus hostage crisis
  • Obama arrives in Tokyo, first stop of 4-nation tour
  • Believe it or not: Filipinos love US more than Yanks
  • Marketplace