Of course, nothing is as simple as it seems, especially in economics. The Philippines is not the only country experiencing a depreciation. That is merely the reaction to the dollar’s appreciation, which is caused by US interest rate hikes that are trying to rein in inflation in America. More simply, goods from other countries are also more affordable now to those buying in dollars.

As Philippine products become cheaper, the same thing happens to goods made elsewhere because exchange rates are influenced by the dollar. Because of that, the Philippines needs to promote locally made products in foreign markets. For sure, other countries will be doing the same for their goods.

And while the peso is weaker, the Philippines should also push for more foreign investments in the country. Like recipients of remittances, foreign investors can enjoy a windfall by spending their dollars here.

The present exchange rate should also encourage foreign investors doing business here already, like those in the outsourcing sector, to expand operations or hire more people. Again, the authorities should not assume that they will do that because there is usually not enough money for everything that is needed.

For sure, the new economic team is familiar with the opportunities mentioned here. Undoubtedly, they know better.

However, they should also manage public opinion, which can be influenced by a one-sided or even perhaps a misreading of the economy. Making sound policy decisions can become difficult when they become unpopular or are misunderstood by people, like those who have been conditioned to equate the peso’s exchange rate with the status of the economy.

Of course, the disadvantages of a weaker peso should not be ignored either. But as those are addressed, one should not forget to seize the opportunities.