Duterte's peso rout conflicts with Philippine economy

Manila

INVESTORS rushing to pull money out of the Philippines are neglecting one key positive - the economy is growing faster than almost anywhere else on the planet.

President Rodrigo Duterte's expletive-laden outbursts have triggered the biggest exodus from stocks in a year and made the peso Asia's worst performer in September. The Philippine currency is at a seven-year low and rounding out its worst month since May 2010, after Mr Duterte lashed out at US President Barack Obama and told off both the European Union and the United Nations for their criticisms of his violent anti-drug campaign, which has left more than 3,000 people dead.

Currency strategists predict a rebound once investors see beyond Mr Duterte's words. Only India is expanding at a quicker pace in Asia, and the economy stands to benefit from the president's plan to increase spending and reform the tax system. Philippine officials said that the nation's fundamentals are strong, and a weaker currency will boost the value of two key drivers of growth: money repatri…