The Governor of Bangko Sentral ng Pilipinas, Eli Remolona Jr., has expressed confidence in the central bank’s ability to make monetary policy decisions independently of the US Federal Reserve. Remolona stated that the BSP will prioritize Philippines’ economic data over the Fed’s movements.
In light of the weakening peso, Remolona assured that the central bank is prepared to defend the local currency from speculative attacks. Despite recent volatility in the peso’s value, Remolona hinted at possible rate cuts later this year depending on local economic data.
The BSP intervened in the foreign exchange market this week as the peso neared record lows against the dollar. Remolona emphasized that the central bank has sufficient reserves to support the peso and prevent excessive fluctuation in its value.
Overall, Remolona emphasized the BSP’s commitment to stabilizing the currency and ensuring that legitimate dollar buyers can access foreign exchange at reasonable prices.
