Former Finance Secretary and congressman Gary Teves sees a positive effect on the depreciation of Philippine peso against US dollar.
Teves, who served as Department of Finance chief during the administration of former President Gloria Macapagal Arroyo, mentioned on Monday, July 4, that overseas Filipino workers (OFWs) and their families benefit from the weakening of Philippine peso.
As of Monday, the Bankers Association of the Philippines reported that the local currency finished at 55.08 to a US dollar.
"Bawat US$ 100 na pinapadala ng ating overseas Filipino workers, nakakadagdag ng medyo Php 400 o Php 500," Teves explained during DZRH's Dos Por Dos.
Teves also expects that the depreciation of the local currency will encourage the establishment of businesses focused on exporting products outside of the Philippines.
However, he warned that that the weakening of Philippine peso will affect the foreign debt of the national government.
"Yung ating gobyerno, siyempre, ay magkakaproblema kasi sa pagbabayd ng utang sa ibang bansa kakailanganin nila ng additional five pesos ngayon sa bawat dolyar," Teves said.
Teves also said that importers may increase the prices of their commodities due to the depreciation of the Philippine peso.
"Kailangan katamtaman. Hindi masyadong bumababa yung ating peso at hindi naman masyadong matibay kasi may mga implikasyon sa ating tinatawag na winners at saka losers," he stressed.
