Philippine Peso To Us Dollar Exchange Rate History
The Philippine peso is the official currency of the Philippines. It is abbreviated as PHP and is divided into 100 centavos. The US dollar, on the other hand, is the currency of the United States of America and is abbreviated as USD. The exchange rate between these two currencies has been subject to fluctuation over the years, and in this article, we will take a look at the history of this exchange rate.
Pre-World War II
Before the outbreak of the Second World War, the Philippine peso was on par with the US dollar. This was due to the fact that the Philippines was then an American colony and the US dollar was the official currency. The exchange rate was fixed at 2 pesos to 1 US dollar.
World War II
The Second World War had a huge impact on the Philippine peso. The occupying Japanese forces introduced a new currency called the Japanese-issued Philippine peso. After the war, the Philippine government introduced a new currency called the Philippine Liberation peso. However, due to the destruction of the economy during the war, the exchange rate was set at 2 Philippine pesos to 1 US dollar.
Post-World War II
In the years following the war, the Philippine economy began to recover. The exchange rate was fixed at 2 Philippine pesos to 1 US dollar until 1965. In 1965, the exchange rate was devalued to 3.90 Philippine pesos to 1 US dollar. This was due to a balance of payment crisis and a need to boost exports.
Marcos Era
During the Marcos era, the exchange rate was allowed to float freely, and it fluctuated greatly. In 1983, the exchange rate was 7.5 Philippine pesos to 1 US dollar. By 1985, it had risen to 18 Philippine pesos to 1 US dollar. This was due to a combination of factors such as political instability, corruption, and economic mismanagement.
Post-Marcos Era
After the fall of the Marcos regime, the Philippine economy began to stabilize. In 1998, the Asian financial crisis hit the Philippines, and the exchange rate reached a high of 46.50 Philippine pesos to 1 US dollar. However, the Philippine government was able to implement measures to stabilize the economy, and the exchange rate eventually stabilized.
Recent Years
In recent years, the exchange rate between the Philippine peso and the US dollar has remained relatively stable. As of August 2021, the exchange rate is approximately 50 Philippine pesos to 1 US dollar.
Conclusion
The exchange rate between the Philippine peso and the US dollar has undergone significant fluctuations over the years. It has been affected by various factors such as wars, political instability, economic mismanagement, and global economic crises. However, in recent years, the exchange rate has stabilized, and the Philippine economy has been growing steadily.