The GBP to PHP exchange rate shows a firm upward trend, currently sitting at 90-day highs near 79.39, which is approximately 1.8% above its three-month average of 77.98. The market has experienced stability in this trading range, fluctuating only between 76.36 and 79.39 over the past three months.
Recent forecasts and economic updates indicate that the British Pound (GBP) has found some strength following the Bank of England's (BoE) decision to cut interest rates to 4.75% while signaling a more cautious approach to future rate cuts. Analysts suggest that the BoE's language indicates a potential easing of policy may not be as aggressive moving forward. The UK’s recent retail sales figures may provide further support for the pound, particularly if they reflect growth as anticipated.
Conversely, the outlook for the Philippine Peso (PHP) remains influenced by domestic political unrest, especially ongoing anti-corruption protests that have raised concerns about political stability. The International Monetary Fund (IMF) has revised its growth outlook for the Philippines down to 5.1% for 2025, amidst calls for stronger governance. Inflation pressures are expected to remain low at 1.7%, supported by the Bangko Sentral ng Pilipinas signaling an end to its rate cuts to stabilize the peso.
Taking these factors into consideration, the GBP is underpinned by a more hawkish stance from the BoE, while the PHP could face headwinds from domestic issues. Experts anticipate that the interplay of the UK’s monetary and fiscal policy along with the political climate in the Philippines will be crucial in determining the future trajectory of the GBP to PHP exchange rate.
