Weak peso cuts debt prepayments

With the peso weak against the US dollar, borrowers stopped prepaying their debts during the first nine months of last year, a reversal from 2013 when prepayments saved them money.

The Bangko Sentral ng Pilipinas (BSP) reported prepayments on medium and long-term foreign loans hit $253.9 million in January to September 2014, a downturn from the $2.866 billion year-earlier amount.