PLDT Inc. says the sliding Philippine peso is driving up costs for its information and communications technology projects, especially those that rely heavily on imported gear and materials.
Blums Pineda, senior vice president and head of the PLDT and Smart Enterprise Business Group, explained that the company is keeping a close watch on currency fluctuations as it manages budgets for its infrastructure and connectivity rollouts. Exchange rate swings can push project expenses higher, particularly when suppliers are no longer able to stick to previously agreed pricing for imported items, he noted.
“We also have dollar-denominated revenue, so that is an upside. But the bigger part is that for many of our connectivity and ICT projects, we are importing,” Pineda said. The peso closed at ₱63.05 against the US dollar last Friday, slipping from ₱62.97 the previous trading day.
Despite these cost headwinds, PLDT remains optimistic about prospects for enterprise digital infrastructure — especially data centers — fueled by strong and growing demand from global hyperscalers and domestic businesses.
The company also confirmed it stands ready to push ahead with the planned listing of Vitro REIT Corp., but will carefully time the market to ensure the deal delivers solid returns. “We are push-button ready, but given current yield levels, we are waiting for conditions to correct favorably so we can hit that right window,” Pineda added.
Vitro REIT originally filed for a ₱24.2 billion initial public offering but decided to defer the listing until next year amid soft market conditions. Once listed, the entity will hold nine data centers, with plans to expand capacity further to meet rising demand from both local and international clients.
