Philippine Peso Breaches P60 Mark Against US Dollar Amid Middle East Conflict

The Philippine peso has experienced significant depreciation, with reports indicating it reached record lows and approached the P60 per US dollar mark in late 2024 and early 2025. According to available data, the peso hit a record low of P59.355 per dollar in January 2026, surpassing previous records. While the exact Thursday morning breach of P60 in October 2024 mentioned in the initial summary cannot be verified through current search results, the peso has faced substantial pressure from multiple factors including rising oil prices, geopolitical tensions in the Middle East, and broader economic concerns. Economic think tanks like IBON Foundation have predicted the peso could weaken to P60:$1 due to potential protectionist policies from the US administration, widening trade deficits, and declining remittances. The Bangko Sentral ng Pilipinas (BSP) has been monitoring the situation closely, with Governor Remolona warning that Philippine inflation could breach 4% if oil prices surge past $100 per barrel, potentially forcing the central bank to hike interest rates again. The peso's depreciation has been attributed to several factors including surging oil prices in international markets, concerns about US Federal Reserve policies, and geopolitical risks affecting energy imports and remittance flows. While some analysts have expressed concerns about the peso breaching the P60 level, others have been more optimistic, citing potential improvements in the current account balance through AI-driven electronics exports and slowing imports. The currency's performance remains closely tied to global energy markets and geopolitical developments, particularly in the Middle East region.

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