The purchasing power of the Philippine peso has declined sharply over the past eight years, with P1 in 2018 now equivalent to just 75 centavos today, according to the Philippine Statistics Authority (PSA).

Speaking at a Tuesday press conference, National Statistician Claire Dennis Mapa explained that purchasing power moves in the opposite direction of inflation — which accelerated to 4.1 percent in March 2026, driven largely by higher fuel prices amid tensions in the Middle East.

“The purchasing power of the Philippine peso is inversely related to inflation rate. When inflation increases, the purchasing power of the peso decreases,” he said.