Weak Peso Benefits Philippines Economy, Finance Chief Says
- Government is in control of inflation, Dominguez tells BTV
- Abrupt movements in FX not beneficial and are closely watched
Photographer: Seong Joon Cho/Bloomberg
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Philippine Finance Secretary Carlos Dominguez said a weak peso is benefiting the economy, and a widening in the trade deficit and faster inflation are signs of strong growth.
The depreciation in the peso, Asia’s worst performing currency that’s lost more than 6 percent against the dollar this year, is boosting the repatriated income of about 10 million Filipinos working overseas as well as the earnings of exporters and call center operators in the $305 billion economy, Dominguez said in an interview with Bloomberg Television’s David Ingles in Tokyo. The trade gap is partly fueling a slump the currency, he said.