Peso hits record low at P60.1 per US dollar
The Philippine peso has hit a record low of P60.10 against the US dollar on Thursday, March 19.
According to data from the Bankers Association of the Philippines, the peso opened at P59.90, weaker than its previous close of P59.68 on Wednesday, and dropped to P60.40 earlier in today's trading.
Bloomberg reported that the Bangko Sentral ng Pilipinas had intervened earlier this week to prevent the peso from weakening further against the US dollar.
Before this, oil prices jumped sharply as Brent crude traded above $108 per barrel (about P6,400), driven by rising tensions in the Middle East.
This was triggered after Israel struck Iran’s South Pars, the world's largest natural gas field. In response, Iran warned it could target energy facilities across the Gulf region. According to The Guardian, citing reports by Israeli media, the attacks were carried out by Israel with the approval of the US.
Economists warned that global conflicts could slow economic growth and push up inflation by disrupting trade, supply chains, and energy markets, as per De La Salle University's latest report.
"This fuel price shock directly feeds into firms’ production costs, dampening business confidence and contributing to the contraction in capital formation. The cost will be passed on to households. Beyond its inflationary impact, the heightening tensions endanger many overseas Filipino workers in the Middle East and their remittance flows amounting to about $30 billion. Threats on this critical consumption line for millions of Filipino households compound their already-deteriorating purchasing power due to foreseen inflation spike," they wrote.
The Philippine peso has also weakened over the past year amid the flood control scandal. Emmanuel Leyco of the Center for People Empowerment in Governance warned in December 2025 that if the peso reached P60 to the dollar, it could worsen inflation and make paying foreign debt more costly.