Philippine Peso (PHP)

About the Philippine Peso

The Philippine Peso (PHP) is the official currency of the Philippines, issued by the Bangko Sentral ng Pilipinas, the central bank of the Republic of the Philippines. Its symbol is ₱, and one peso divides into 100 sentimos — the Filipino-language form of centavo, itself the Spanish-derived term standard in English. Philippine banknotes and coins likewise carry the Filipino spelling piso rather than peso. The Bangko Sentral, established on 3 July 1993, succeeded the Central Bank of the Philippines as issuer of the national currency.

The peso trades under a freely floating exchange-rate system, in place since 1970. The Bangko Sentral does not set a target level: consistent with that floating system, it leaves the exchange rate to be determined by market forces. When it does step into the market, it is to smooth out sharp swings and keep trading orderly, not to steer the peso toward a preferred level. Monetary policy itself targets a low and stable inflation rate, pursued through the overnight reverse repurchase facility.

Money in the Philippines long predates the modern peso: pre-colonial trade used gold piloncitos, regarded as the country's first local coinage. Under Spanish rule silver coins arrived on the Manila galleons, and El Banco Español Filipino de Isabel II issued the pesos fuertes, the first paper money circulated in the country. The United States Congress approved a Coinage Act for the Philippines in 1903, and the Central Bank of the Philippines, established on 3 January 1949, centralized issue with its English Series notes; the Bangko Sentral ng Pilipinas took over in 1993.

Circulating banknotes belong to the New Generation Currency series, first issued on 16 December 2010 in six denominations from 20 to 1,000 piso, with enhanced versions launched in 2020 for improved accessibility and security. Beginning in April 2022 with the 1,000-piso note, the Bangko Sentral introduced the First Philippine Polymer banknote series — 50-, 100-, 500- and 1,000-piso notes whose designs highlight Philippine biodiversity. Polymer notes circulate alongside the paper banknotes, which remain legal tender.

Coins in circulation come mainly from the New Generation Currency coin series, launched on 26 March 2018 with six denominations: 1, 5 and 25 sentimo and 1, 5 and 10 piso. A bi-colour 20-piso coin and a nine-sided enhanced 5-piso coin followed on 17 December 2019. The larger coins carry national heroes — Jose Rizal on the 1 piso, Andres Bonifacio on the 5 piso, Apolinario Mabini on the 10 piso and Manuel L. Quezon on the 20 piso — while earlier BSP Coin Series pieces, issued from 1995, remain legal tender.