do you think the dollar will still recover?
2006-10-03 18:17:15 · 10 answers · asked by ? 2 in Travel ➔ Asia Pacific ➔ Philippines
The weakening dollar is a complex matter. It depends on many factors such as how much the OFW is sending back, the economy of the Philippines, and to a much lesser extend, the US interest rate and US economy.
How much the OFW sends back is a big deal, there are now more OFW than ever, and they are sending record breaking amount of money back to the Philippines. Simple supply and demand for the US$ will push down the exchange rate due to more supply of US$.
Then there is the economy of the Philippines. The EVAT has done a lot to the government's financial strength. The government now has a chance to pay down some of their loans, and pay for some of the domestic programs. The strength and/or signs of improving financial health of the Philippines government push down the exchange rate.
Then there is the US interest rate and economy. When the US interest rate goes up, the Philippines Peso usually goes down. Now the US interest rate has stopped going up, but the Peso is still going down. That is because of the stronger factors above.
I think the weakening dollar is good for the Philippines. It is because it reflect the strength of the country and their currency. It will mean import will cost less, the government can pay less Peso for the US$ loans, and the ecomony will get better.
For the OFW, in the short term, they will be sending less Pesos home. A few percent less Pesos is not a big deal, the OFW can eat one less meal and make up for it.
2006-10-04 21:36:23 · answer #1 · answered by Paradise Surfer 2 · 0⤊ 0⤋
What is it with Pinoys and dollar rate obsession? And really, the Dow Jones is at an all time high. The issue is not a weakening dollar, but the Japanese yen gaining strength, and thus boosting ALL east asian currencies - Thai Baht, Phil Peso, Malay RInggit, HK Dollar, etc. Get it?
2006-10-04 12:27:06 · answer #2 · answered by Eric the Red 2 · 0⤊ 0⤋
if the dollar weakened, it means that the Philippines is becoming more economically stable. OFWs should be happy about it. However it will also mean that the Philippines is going to be rich. This is the trend: in richer countries, their goods and services are too high. for example, in south Korea, their foods are expensive than the same foods sold here in the Philippines.
But don't worry,if the Philippines became wealthy (in terms of money and production; because now, this country is already rich of abundant unexplored resources), more jobs will be available here. won't they rejoice working in their homeland and not separated with their family?
about the recovery of dollar,
it will depend on the governance,and investments which lies to the image of this country whether peaceful or not, whether profitable or not.
did i really answer your question?
im sorry, if not.
2006-10-03 23:02:31 · answer #3 · answered by yolly jr f 1 · 0⤊ 0⤋
even if dollar goes down in the market its only a fraction, small changes in dollar doesnt directly affect the low level consumer. they prices of commodities is steadily going up... but never goes down even if the peso become stonger againts dollar. as long as there's no good ang legitimate governance in the philippines OFW will go out of the country just earn dollar to send to their family.
try to check pcij.org it can open your mind......
2006-10-04 05:25:44 · answer #4 · answered by DR. BJ 2 · 0⤊ 0⤋
I'm confused. Do all OFW's earn US Dollars? Don't any earn Euros, Pounds, Dinars, Sing Dollars, HK Dollars, Yen?
The USD is crap and won't get any better soon. I earn Pesos and love it.
2006-10-04 00:17:17 · answer #5 · answered by Sanmigsean 6 · 0⤊ 0⤋
I'm pinoy but not OFW. I think they should not worry. Prices are going down.
2006-10-03 18:29:43 · answer #6 · answered by junior 6 · 0⤊ 0⤋
The dollar is not weakening, it's the Peso that's getting strong. It's an indication that the economy is improving... :-)
It's a good sign.
2006-10-07 15:53:49 · answer #7 · answered by ? 5 · 0⤊ 0⤋
What is it with currency rates that gets everyone so worked up?
Whatever it is, is whatever it is. What about the OFW in Europe or UK, what is their exchange rate and what does all of this have to do with the price of San Miguel beer in the Philippines.
You have what you have, and that's it!!!!!!!!!!!!!!...........
2006-10-03 18:49:52 · answer #8 · answered by fed up with stupid questions 4 · 1⤊ 0⤋
i think they should not worry about it, their utmost concern is to send it on time :-). Pinoys should be optimistic that now the peso has more buying power.
2006-10-03 20:01:21 · answer #9 · answered by bluecross0924 4 · 0⤊ 0⤋
even if it becomes weaker, it is still more than what one can earn in the philippines. i wont worry too much about it.
2006-10-03 22:30:50 · answer #10 · answered by Russ Bear 3 · 1⤊ 0⤋