Palace says US downgrade is 'wake-up call' | Inquirer Business

Palace says US downgrade is ‘wake-up call’

/ 03:43 PM August 06, 2011

MANILA, Philippines—The Philippines said Saturday the downgrade of the US’ credit rating by Standard & Poor’s would serve as a “wake-up call” but that it was confident the world’s largest economy could address its problems.

President Benigno Aquino’s spokesman Ricky Carandang told Agence France-Presse, “In a way it’s a wake-up call for the US to begin to seriously address its economic issues. We’re confident they will be able to do this.”

He added that the country was closely monitoring the US debt crisis after Washington lost its top-notch AAA credit rating for the first time ever, but that it was too early to tell what the effect would be on Manila.

Article continues after this advertisement

According to US Treasury data, the Philippines holds $23.6 billion in US securities, now rated AA+ by S&P with a negative outlook.

FEATURED STORIES

The United States is also its top export market, main provider of foreign military aid, and a key host for the Philippines’ nine million-strong overseas workers.

A presidential spokeswoman, Abigail Valte, said on government radio that Aquino’s top economic advisers were closely watching the potential fallout.

Article continues after this advertisement

“The economic managers are closely watching the developments. It is too early to tell what the impact will be. We will take the necessary steps to address this,” Valte added.

Your subscription could not be saved. Please try again.
Your subscription has been successful.

Subscribe to our daily newsletter

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

TAGS: Credit rating, economy, Philippines, Standard & Poor’s, US

Your subscription could not be saved. Please try again.
Your subscription has been successful.

Subscribe to our newsletter!

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

© Copyright 1997-2024 INQUIRER.net | All Rights Reserved

This is an information message

We use cookies to enhance your experience. By continuing, you agree to our use of cookies. Learn more here.