Why Is Philippine Peso So Strong Against USD?

Bloggers like us who earn in dollars via overseas advertisers were all hurting with this noticeable dollar-peso exchange rate. It seems that the Philippine peso got stronger and stronger against the US dollar, and the dollar trend seems to have been declining on a steady pace.

While this is a negative impact to us, especially in our case who doesn't really earn that much in blogging. We are aware that this is a positive thing that needed to be joyful about.

This is because that it means that the Philippine economy is getting stronger. That means it would benefit the whole Philippine residents than those few dollar-earning workers.

Sure this is hard, but this has positive impact for the greater good.

But why is this really happening?

Here are some of the data we have collected that contributes to this dilemna.

1.) The dollar amount entering the Philippine is more than it is spending. This came from the OFW abroad together with our exporters. This incoming dollars has beating the outgoing for years according to BSP.

2.) On the current state, the economy of U.S.A. is not as powerful as before, that is why Philippine peso is gaining more advantages.

3.) Political situation of the country is getting stable, making foreign investors to place more business on the country, meaning more dollars on PH's pocket.

Economists said that the strength of Philippine peso against USD will continue this year. Predictions said that it will end up to 39-37 on the end of 2013, but 38-something will be realistic - reports said.