MANILA - The peso's weakness against the dollar is in step with its peers in the region, and monetary authorities will let market forces determine its value against the dollar, the central bank governor said Wednesday.

The peso closed at P49.86 to the dollar from Tuesday's close of P49.85, hovering at eight-year lows for weeks, as investors reconfigured their portfolios ahead of an expected rate increase by the Federal Reserve next month and US president-elect Donald Trump's assumption into office in January.

"If you look at the movements of Asian region currencies, the peso is basically in the middle of range in terms of both actual movement and deprecation since the beginning of the year and in terms of volatility of exchange rate movements," Bangko Sentral ng Pilipinas Governor Amando Tetangco said.

"We are sticking to our current forex policy of allowing market forces to determines exchange rate," he added.

• READ: Peso seen weakening further after hitting P49 vs dollar

Tetangco earlier said the BSP would aid the peso "as needed" in the wake of Trump's shock win in the US elections.