BSP intervention remains minimal —Remolona

THE PESO’S recent slide against the dollar puts pressure on the Bangko Sentral ng Pilipinas (BSP) to intervene to prevent inflationary risks, but its chief reiterated that they remain present in the market only to smoothen out sharp swings.

- Katherine K. Chan and Aaron Michael C. Sy

BANGKO SENTRAL ng Pilipinas Governor Eli M. Remolona, Jr.

(COURTESY OF BANGKO SENTRAL NG PIL)

“There’s tremendous pressure to defend the peso and we've resisted that pressure,” BSP Governor Eli M. Remolona, Jr. told reporters on the sidelines of an event on Thursday.

On Wednesday, the peso plunged to a fresh record low of P59.355 versus the dollar. It recovered on Thursday, closing at P59.17.

The BSP chief said they make “minimal” interventions in the foreign exchange market to ensure that movements are not too sharp.

Asked what the central bank would do if the peso touches P60 or P61, Mr. Remolona said:

“Wala (Nothing). It’s just a number.”