Does one candidate really have this sort of effect on our economy?
“Davao City Mayor Rodrigo Duterte’s tightening grip on the Philippine presidential race has made the nation’s currency Asia’s worst performer this month,” reports Bloomberg.
The peso slumped by 1.6% in April as opinion polls showed Duterte has extended his lead in the presidential race.
The report noted: “Duterte’s popularity has been boosted by peoples’ anxiety over crime and, like U.S. Presidential candidate Donald Trump, supporters praise him for straight-talking. As the election looms, Philippine bond risk has climbed from near an eight-month low and foreigners have pulled out US$41 million from local stocks this month.”
Edwin Gutierrez, who helps oversee about US$11 billion as head of emerging-market sovereign debt at Aberdeen Asset Management Plc in London, was asked to weigh in on the presidential race’s impact on Philippine economy.
He said, “Duterte represents uncertainty. I don’t think he’d do anything to upset the apple cart with economic policy, but I don’t see economic reform as being his priority. The comparisons to Trump are obviously rather unflattering whether justified or not.”
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