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OFWs big winners in peso weakening—solon says

The peso may have declined to an 11-year low, but overseas Filipino workers (OFWs) and their dependents are expected to gain from it, according to Rep. Aniceto Bertiz III of ACT-OFW Partylist.

“Biggest winners of the sliding peso against the dollar are obviously the exporters and the overseas Filipinos,” Bertiz said in a statement, adding that, “Overseas Filipinos and their dependents here in the Philippines are very happy that they are getting more pesos for every dollar they earn and send back home.”

This echoes Socioeconomic Planning Secretary Ernesto Pernia, who noted that the weakening of peso should not be a cause of worry because it could boost the buying powers of OFWs and their families.

“It is going to make our exports more competitive, our OFWs remittances will be a boost to consumption spending which is also an economic driver and economic growth stimulus,” Pernia said.

Pernia and Bertiz said exports and business process outsourcing sectors will also benefit from the weakening of peso.

The dollar-peso exchange rate is currently at $1=P51.07, slightly stronger than previous figures that reached up to P51.40.

BPI Securities analyst Riche Lim said the peso-dollar exchange could weaken to P52.80 by the end of the year and to P53 to P54 by 2018.

Photo credit: PCOO, EDP;Wikipedia

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