Philippines to Step In Should Peso Weakness Threaten Prices

Philippine central bank Governor Eli Remolona said authorities are prepared to intervene more strongly in the foreign-exchange market should the decline in the peso threaten inflation.

“The effect of the exchange rate on inflation depends on how big the depreciation is, and we have estimates of that threshold,” Remolona said in an interview with CNBC on Friday. “We would come in somewhat more forcefully than before” once such threshold is breached, he said.