Tuesday, March 14, 2006

Foreign Exchange Rate

Since I'm living in a third world country and working in a first world one. I've been trying to keep track foreign exchange rates between the yen and dollar and the yen and the Philippine Peso. I kind of find it strange that the Philippine gov't keeps on blabbing that the Philippine Peso is strengthening and yet it doesn't reflect on the prices of goods and commodities in the Philippines. The prices of goods, commodities and services in my country keeps on rising. Call it inflation as you want, yet the gov't keeps on blabbing that the Philippine Peso is recovering against the U.S. Dollar (Current Dollar Peso Exchange rate is 1 USD = 51.14 PHP ) and yet the common people are the ones who are being burdened by the prices of local goods. So the question is what is really happening Mrs. President ? Are you really aware of that the masses are suffering or are you just plain stupid ? Is the Philippine Economy really recovering ? Sometimes I just wonder.... I was reading this article recently and I can say Japan is a bit devious in how their handling things right now, Bloomberg News. Considering Japan is an export based country (electronics, cars, etc.), japan relies on a lower value of the yen. I remember way back early 2004 when Japan's exchange rate was about almost 1 USD = 103 Yen, what japan did was selling trillions of yen so that its currency would depreciate. Considering the Philippines is a service based country, manufacturing (electronic parts and car parts), wouldn't it better too if the gov't lowered the value of the peso a bit and take control on the prices of commodities and goods. It would be also better if the gov't concentrate on peace and order in curbing the crime rate in the country so that the investors would be easily attracted to the country and generate more jobs for the people. Yet all I can see is that the gov't doesn't really care, most politicians are just lobbying and "politicking" in the sense that they don't even care about what is good for their country. What they care about is what is good for themselves and for their political party. The last news I heard about the impeachment case against the President of the Philippines was that it was quashed by her allies in the lower house. For what reason ? So that the investigation wouldn't push through. Now that is what you call Philippine politics at its best.

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