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Your Go-to Guide for the PH Currency (Philippine Peso)

Updated on May 22, 2025 12:31 pm
Philippines pesos currency

If you are planning to travel to the Philippines, support loved ones through remittances, or manage cross-border business payments, you need to first understand the Philippines' currency. The Philippine Peso or PHP is the official currency of the country.

The peso is more than a medium of exchange. It's a key part of everyday life in the Philippines. From bustling street markets in Manila to online shopping platforms and bank transfers from abroad, the peso is used in both traditional and modern ways. Knowing how the Ph currency works—its denominations, symbols, value trends, and where to exchange it—can help you save money, avoid scams, and ensure smoother transactions.

In this guide, you will get a full breakdown of PHP—how PHP evolved, how it's used today, how to read exchange rates, and tips for getting the best deal when you are converting your money. 

What Currency Is PHP?

The Philippine Peso—locally known as Piso—is the official currency of the Philippines. It uses the code PHP and the symbol ₱. Each peso is made up of 100 centavos, which you might hear called ‘sentimos’ in Filipino.

Over the years, the peso has seen a lot—from Spanish coins to quirky WWII “Mickey Mouse Money.” Today, it’s issued by the Bangko Sentral ng Pilipinas and features everything from national heroes to iconic landmarks and native wildlife.

What to Know Before Sending Money to the Philippines

If you are sending money to the Philippines for the first time, it's important to know how the process works beyond just the exchange rate. Here are some key factors to consider to ensure a smooth, cost-effective transfer:

  • Ease of transfer: Transferring money to PHP is usually smooth on some reputable and famous platforms. You can use an exchange rate calculator to see such top platforms.
  • Speed and cost: Transfers can take anywhere from minutes to a couple of business days, depending on the provider. Costs vary—some services offer better rates but slower delivery, while others charge higher fees for instant transfers.
  • Roadblocks to watch for:
    • Hidden fees: Some providers may offer attractive exchange rates on the front, but deduct their fees in the backend. Always check the net amount your recipient will receive.
    • Exchange rate lock: All platforms don't lock the rates at the time of transfer. Rates may change by the time the recipient receives the money, unless you have used a service that allows you to lock the rate at the time of transfer.
    • Daily transfer limits: Some services have a limit on how much you can send in a day or in a transaction, especially for new users.

What Is the Philippines Currency Exchange Rate?

The USD to PHP exchange rate stood still at 2 PHP per USD from 1946 to 1962. Under the pegged system, the currency substantially depreciated. By 1966, it was being traded at 20 PHP per 1 USD. The black market exchange rate for the PH currency was higher than the official rate during this period.

After the New Central Bank Act in 1993, the Philippine Peso became a floating currency. This brought stability to the currency, and the black market also finally disappeared.

The Peso depreciated in the early 1990s to 28 PHP per USD. In the history of the USD to PHP exchange rate, the value of Ph currency depreciated to its lowest at 56.341 PHP per USD.

What Factors Affect the Currency Exchange Rates?

The fluctuating exchange rate between the Philippine Peso and the USD is due to complex economic factors. Since PHP is a floating currency, market forces determine its value. These include the Philippines' economic performance, interest rates set by the Bangko Sentral ng Pilipinas (BSP), inflation rates, and the country's trade balance. 

Political stability and investor confidence also play significant roles. When the Philippine economy is strong, with growth and low inflation, the PHP tends to appreciate. On the contrary, economic downturns, political instability, or high inflation can lead to depreciation. 

Global economic conditions, such as US interest rate changes or global market volatility, also impact the exchange rate. The supply and demand of each currency in the foreign exchange market, influenced by trade flows and investment activities, ultimately dictate the prevailing exchange rate.

Tips for Sending Money to the Philippines

The Philippine Peso is a floating currency—its value changes constantly based on the market’s demand and supply. As of now, 1 USD is trading at approximately 57 PHP, but the rates keep shifting.

To get the highest rate when exchanging or transferring money to the Philippines from the US, it is recommended to follow these steps:

  • Use online platforms to compare the rates offered by various remittance providers.
  • Compare the transfer fees and speed of the transfer.
  • Many providers impose hidden costs. Always check the final amount you will receive after the transfer.
  • Set alerts to get notified when the exchange rate hits your desired figure.

Stay updated on the PH currency exchange rates to know the best time to transfer money to get a higher amount. Use reliable services like Remitly, Wise, Xoom, or any of the other reputable money transfer companies on CompareRemit.

Summing Up the PH Currency

Understanding the Philippines currency is key to making smarter financial decisions—whether you are sending remittances, managing international expenses, or simply planning a trip. From knowing how exchange rates fluctuate to choosing the right time to transfer money, small moves can lead to big savings. With the right tools, you can avoid hidden fees and make every peso go further.

That's where CompareRemit comes in. Our platform helps you compare real-time exchange rates, fees, and transfer speeds across top remittance providers—all in one place. So you don’t just send money to the Philippines—you send it smarter.

Frequently Asked Questions (FAQs)

Q: Why is the Philippine Peso called Piso?

The term ‘Piso’ is Filipino for the Philippine Peso. It was introduced in the 1960s.

Q: Can I use USD in the Philippines?

While US dollars are accepted in some tourist areas, hotels, and major establishments, they aren’t widely used for everyday transactions. It’s best to carry Philippine pesos (PHP) for convenience, especially when shopping locally or traveling outside major cities.

Q: How can I get the best exchange rate when sending money to the Philippines?

To get the best rate, compare offers from multiple remittance services instead of sticking with just one provider. Tools like CompareRemit help you easily track real-time exchange rates, transfer fees, and delivery times so you can choose the most cost-effective option for your needs.

Q: What is the highest rate of USD to PHP in history?

The highest recorded exchange rate of USD to PHP was ₱59.21 per $1, reached on September 28, 2022. Over the past decade, the peso gradually weakened, from ₱40 in 2013 to over ₱50 by 2017, and ₱54.40 in 2018. Although the peso briefly strengthened to around ₱47.70 in 2021, it sharply declined again in 2022, hitting its all-time high before stabilizing around ₱55–₱56 in early 2023.

Q: What is the best time to exchange dollars for Philippine pesos?

There’s no single “perfect” time, but generally, exchange rates are more favorable on weekdays when the forex market is most active—especially between 12:00 to 15:00 GMT, when trading volume peaks. If you're converting USD to PHP, weekends sometimes offer a better USD rate due to lower currency flow. Keep an eye on real-time exchange rates and market trends to convert when the dollar is strongest.

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