Philippine Peso Predicted to Be Asia’s Worst-Performing Currency in 2018
- Currency vulnerable to worsening current account: BDO Unibank
- Bulls say recent declines have made valuations attractive
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Investors rejoicing over the Philippine peso’s rally to a six-month high should beware: the currency is predicted to be Asia’s worst performer next year.
The peso will slide to 51 per dollar by end of 2018, a loss of 1.5 percent from current levels, according to the median estimate of a Bloomberg survey, with a most bearish projection of 56. The currency will be undermined as the current-account deficit widens, while the central bank is slow to raise interest rates from a record low, strategists and fund managers say.