MANILA - The peso is expected to weaken further against the dollar in the next 2 years as the government's infrastructure program drives imports, an analyst said Wednesday.
The local currency may fall to the P52.50 level by the end of the year and to the P56 level in 2 years, BPI Securities research head Haj Narvaez told ANC's Market Edge with Cathy Yang.
"We're still bearish on the peso versus the dollar... This is part of the short-term pain that we have to deal with," Narvaez said.
The peso closed at Wednesday from P50.94 on Tuesday from P50.77 on Tuesday.
The Bangko Sentral ng Pilipinas is "managing" excessive volatility, Governor Nestor Espenilla said last week, adding consumers shouldn't stress over the exchange rate.