MANILA - The Philippine peso again touched a record low of P56.45 against the US dollar in intraday trading, before closing at 56.42, according to the Bankers Association of the Philippines.

Despite the aggressive rate hikes implemented by the Bangko Sentral ng Pilipinas, the peso has remained weak against the US currency.

The last time the peso touched 56.45 to the dollar was in October 2004, or almost 18 years.

The local currency has shed more than P5 in value since the start of the year. It closed at P50.999 to the dollar on January 3, the first trading day of 2022.

The BSP has so far raised its benchmark rate by 175 basis points since May as it tries to rein in inflation. Raising interest rates have also shored up the peso versus the greenback, analysts have said.

But the US Federal Reserve’s aggressive monetary tightening has also kept the dollar strengthening against other currencies.

• Bangko Sentral hikes benchmark rate by 50 basis points to 3.75 percent
• Bangko Sentral sees inflation ranging from 5.9 to 6.7 pct in August

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