If you’re planning a trip to the Philippines or want to learn more about its currency, you’re reading the right article.
The Philippines is an awesome country in Southeastern Asia with many cool places to check out and a fascinating history you can learn.
Let’s not waste any more time and get right into it.
What is the currency in the Philippines?
The Philippine peso is the official currency of the Philippines. In Filipino, it is known as the “piso.”
The central bank of the country, The Bangko Sentral ng Pilipinas, manages and issues the currency of the nation.
The currently circulating banknotes are:
- 20 pesos
- 50 pesos
- 100 pesos
- 200 pesos
- 500 pesos
- 1,000 pesos
The issued coins are as follows:
- 1 centavo (cent)
- 5 centavos
- 10 centavos
- 25 centavos
- 1 peso
- 5 pesos
- 10 pesos
- 20 pesos
The Philippine currency plays a vital role in the nation’s economy because it serves as the medium of exchange for goods. It’s accepted everywhere in the Philippines.
History of the Philippine peso
You can trace the Philippines’ currency origin back to the 16th century. It’s one of the oldest currencies in Southeast Asia.
During the Spanish colonial era, the currency was silver coins known as “Real de a Ocho,” meaning “Pieces of Eight.” They were the currency in the Philippines at the time and in other Spanish colonies. The Spanish minted these coins in Mexico and brought them to the Philippines. In 1852, the Bank of the Philippine Islands issued the first Philippine peso banknotes, with the coins being minted in 1861.
The history of the Philippines’ currency would change in 1898 with the Declaration of Independence. The Philippine government at the time started issuing its own coins and currency, which was backed by the nation’s natural resources. These first currencies were called “centavo.”
In 1901, things changed again because the Americans colonized the Philippines. During that period, the peso was the official currency. It was pegged in a 2:1 ratio to the US dollar until the Philippines gained its independence in 1946.
After the independence, the Central Bank took responsibility for issuing the currency and started making changes to the design of the currency. In 1967, the bank added the Filipino language on the banknotes and coins.
Using Money in the Philippines
The most prevalent payment method in the Philippines is cash, especially for small transactions.
Most of the nation’s population is unbanked, so they have to rely on cash for their day-to-day activities:
- Buying groceries
- Paying for transportation
- Settling bills
But these days, there are a lot more payment methods you can use, such as:
- Mobile wallets like GCash, Paymaya, and GrabPay.
- Debit cards and credit cards.
Digital payment methods, such as online banking platforms, PayPal, and other options, are also becoming more popular among young people in the country.
Common methods of payment in the Philippines
During the COVID-19 pandemic, the government introduced many cashless payment methods, which are also becoming more popular.
However, cash is still king in the Philippines.
The population prefers to use debit cards over credit cards, and the Philippines has one of the lowest credit card usage rates among Southeast Asian countries.
As we mentioned, digital wallet options are popular, especially with younger people, but are still not prevalent.
When you visit, you can also use over-the-counter payments at different banks and payment centers. Options like Western Union and MoneyGram are also available because a lot of Filipinos are sending money back home to their families.
Can you use CAD in the Philippines?
The Canadian dollar isn’t accepted as a form of payment in the Philippines. While some large establishments like hotels and resorts might accept CAD, the exchange rate won’t be favorable to you.
Also, don’t expect small local businesses, public transportation, or street vendors to accept your Canadian dollars. The best thing you can do is to exchange your CAD for the Philippine peso once you arrive in the nation.
How do Canadians exchange CAD to PHP?
When you’re planning your trip to the Philippines, you need to get familiar with the best ways to exchange your CAD for PHP.
You have two options you have to decide on:
- Exchange your CAD for PHP before you arrive.
This is the most convenient way because you’ll arrive in the Philippines with cash on hand. However, you need to verify the exchange rates because you might find better ones there.
- Exchange your CAD after you arrive.
You have a lot of options here. You can use banks, money exchanges, or even some hotels. But remember that you’ll get the best rates at banks and money exchanges.
Tips for exchanging
The most important thing you should note when exchanging your CAD for PHP is the exchange rates.
Most banks and foreign exchange bureaus will offer you good rates whether you’re in Canada or the Philippines. One place you shouldn’t use to exchange money is the airport because you’ll be paying high fees and high exchange rates.
In the Philippines, you have a lot of options that have been tried and tested by many expats.
The most popular ones are:
- Czarina Foreign Exchange
- Sanry’s
Another option is to use your debit or credit card to withdraw Philippine peso from the ATMs.
Make sure to inform your bank and tell them about your upcoming trip to avoid any international transactions being blocked. With the ATM option, there would be some extra fees, but the exchange rates might be better.
When you exchange your CAD for PHP in a Philippine bank or foreign exchange bureau, make sure you pay the exchange fees in PHP.
You can also send money from Canada to the Philippines and get your PHP in the local office. Western Union is a really popular option because of its vast international network.
What factors influence CAD to PHP exchange rate?
There are a few key factors that influence the exchange rate between CAD and PHP:
These include:
- The interest rates set by the Canadian central bank and the Philippine central bank
If the Bank of Canada increases the interest rates, that would lead to more foreign investment, increasing the demand for Canadian dollars. As a result, the Canadian dollar will become more valuable compared to the Philippine peso.
On the other hand, if the Philippine central bank raises the interest rates, it might help the PHP appreciate against the CAD.
- The countries’ inflation
If Canada has higher inflation than the Philippines, the Canadian dollar will lose value against the Philippine peso and vice versa.
- Economic growth and political stability
If the Canadian economy outperforms the Philippine economy, the Canadian dollar will likely appreciate against the peso and vice versa.
Also, if there’s political instability in either Canada or the Philippines, the currency of that nation will lose some of its value compared to the other nation’s.
You can learn how to send money to the Philippines here.
Where can I get Philippine Peso in Canada?
In Canada, you can get PHP from:
- Exchange bureaus
These are secure, but everyone will offer you different exchange rates.
- Banks
Most Canadian banks will exchange your CAD for PHP.
- Western Union
One of the best places to exchange Canadian dollars for Philippine pesos is Western Union. It’s convenient and reliable, and it offers great exchange rates.
Western Union has over 1,400 locations nationwide , so you can easily find a branch near you to exchange your Canadian dollars for Philippine peso.
We also offer competitive exchange rates you can count on. There’s also a more interesting option you can explore with Western Union.
You can send money to a Philippine Western Union branch. That way, when you arrive in the Philippines, you can go to the local branch and get your Philippine peso.
You can do all of that through our online platform, where you can use:
- Bank account transfers
- Credit cards
- Debit cards
The Philippine branch will receive your money within minutes.
