Metrobank Research predicts Philippine peso to strengthen to P55.30 per USD by year-end, after US Fed's 50-basis point cut.

Metrobank Research forecasts the Philippine peso to strengthen to P55.30 per US dollar by year-end, following the US Federal Reserve's recent 50-basis point interest rate cut. This change is expected to enhance net dollar inflows from remittances, despite a widening trade deficit. The peso may further appreciate to P54.50 per dollar in 2025. The Bangko Sentral ng Pilipinas is anticipated to implement additional rate cuts, maintaining a significant interest rate differential.

September 23, 2024
7 Articles