USD to PHP for business payments
A foreign buyer can pay a Philippine supplier in Philippine pesos (PHP) or in US dollars, and many Philippine companies hold a peso account alongside a separate dollar account. Bangko Sentral ng Pilipinas rules let exporters sell, retain or deposit their foreign currency earnings, so the choice turns on the invoice currency, the supplier's accounts and the cost of each route.
- Under Section 20 of the Bangko Sentral ng Pilipinas (BSP) Manual of Regulations on Foreign Exchange Transactions, export earnings may be sold for pesos, retained, or deposited in foreign currency accounts in the Philippines or abroad.
- Philippine banks hold business dollars in foreign currency deposit units (FCDUs) under Republic Act No. 6426, so a supplier often has separate peso and dollar accounts.
- InstaPay settles peso transfers in real time, 24/7, with a limit of PHP 50,000 per transaction, while PESONet handles larger and bulk payments on banking days.
- BPI charges a minimum of USD 6.50 to credit an inward SWIFT remittance to a dollar account and PHP 150 to a peso account, net of other banks' fees.
- The Tax Code zero-rates VAT on certain services only where payment is in acceptable foreign currency accounted for under BSP rules, so some service suppliers ask to be paid in dollars.
The Philippine peso at a glance
The Philippine peso (PHP) is issued by Bangko Sentral ng Pilipinas (BSP), the central bank. The BSP sets foreign exchange rules in its Manual of Regulations on Foreign Exchange Transactions. Banks that deal in foreign exchange are called authorized agent banks (AABs). The peso's rate against the US dollar changes every day, so a peso invoice carries exchange rate risk for a dollar-based buyer until it is paid.
| Item | Philippine peso |
|---|---|
| Currency code | PHP |
| Issuer | Bangko Sentral ng Pilipinas (BSP) |
| Foreign exchange rulebook | BSP Manual of Regulations on Foreign Exchange Transactions |
| Export earnings | Sold for pesos, retained, or deposited in foreign currency accounts in the Philippines or abroad, at the exporter's option (Section 20) |
| Dollar accounts | Foreign currency deposit units (FCDUs), Republic Act No. 6426 |
| Instant peso transfers | InstaPay, 24/7, up to PHP 50,000 per transaction |
| Larger and bulk peso transfers | PESONet, on banking days |
Sources: BSP Manual of Regulations on Foreign Exchange Transactions (version filed with the WTO); Security Bank, InstaPay; PSBank, PESONet and InstaPay FAQs. Checked on 29 October 2026.
Philippine exchange rules that affect your payment
For a buyer abroad, the Philippines is an open market on the receiving side. Under Section 20 of the BSP Manual, export earnings may be used freely and, at the exporter's option, sold for pesos, retained, or deposited in foreign currency accounts in the Philippines or abroad. A Philippine supplier you pay in dollars can keep them.
The Manual matters more when money leaves the Philippines. It lets AABs sell foreign exchange to residents for imports under letters of credit, documents against payment, documents against acceptance, open account, direct remittance and advance payment, and a bank can sell up to USD 1,000,000 a day to a corporate client for imports against the Application to Purchase Foreign Exchange alone. That is relevant if your Philippine subsidiary pays suppliers abroad, and our guide to paying Chinese suppliers from the Philippines explains it.
One tax rule affects the currency of a services invoice. The Tax Code zero-rates VAT on certain services only where the consideration is paid in acceptable foreign currency and accounted for under BSP rules, as quoted by the Supreme Court in CIR v. American Express International. A Philippine service supplier that relies on zero-rating may therefore ask to be paid in dollars even when it could take pesos.
How a PHP payment reaches a Philippine supplier
Philippine accounts are identified by the account number at a named bank and branch, and an international wire also needs the bank's SWIFT code. Ask which account to use: many companies hold a peso account and a separate FCDU dollar account, and a dollar wire sent to the peso account is converted on arrival.
| Route | Supplier receives | Limits and published charges |
|---|---|---|
| SWIFT wire to an FCDU dollar account | USD | BPI: minimum USD 6.50 to credit an inward SWIFT remittance to a dollar account |
| SWIFT wire to a peso account | PHP, converted on arrival | BPI: PHP 150 to credit to a peso account; supplier's bank sets the rate |
| Local peso payout over InstaPay | PHP, in real time, 24/7 | Up to PHP 50,000 per transaction |
| Local peso payout over PESONet | PHP, on banking days | For larger, bulk and recurring payments |
Sources: BPI, Inward remittance fees; Security Bank, InstaPay; PSBank, PESONet and InstaPay FAQs. Checked on 29 October 2026.
Security Bank attributes the InstaPay limit of PHP 50,000 per transaction to a BSP mandate. Collect the supplier's registered name exactly as on the account, the account number and currency, the bank, branch and SWIFT code, and its tax identification number (TIN), in writing.
What converting USD to PHP costs
Converting dollars to pesos costs the mid-market rate, the midpoint between buying and selling prices at that moment, plus the provider's margin, the gap between that rate and the one you receive, plus the payment fee. If you send dollars to a peso account instead, the supplier's bank converts on arrival at its own rate and may charge to credit the payment, as BPI's PHP 150 shows. The margin usually outweighs the fees: a rate 1% below the mid-market rate costs $100 on every $10,000.
Helm is a financial technology company, not a bank. Its US dollar account services are provided by Bridge Building, Inc. (NMLS ID 2450917), a licensed money transmitter, with customer funds held at Lead Bank. A Helm account holds dollars in your company's own name and sends international payments to suppliers by SWIFT, or by local rails in the supplier's currency where available, with the rate, fee and expected arrival shown before you send.
Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment. See how Helm pricing works.
Pay a Philippine supplier in USD or PHP?
- Pay PHP when the supplier invoices in pesos, for local costs, or for small amounts that fit InstaPay. You carry the rate risk.
- Pay USD when the invoice is in dollars and the supplier gives an FCDU account. It can keep the dollars under Section 20.
- Pay in foreign currency for zero-rated services if the supplier asks, because its VAT treatment depends on it.
- Do not send dollars to a peso account. It is converted on arrival at the supplier's bank rate.
The full corridor guide is how to pay suppliers in the Philippines.
Open a Helm account
USD, EUR and GBP accounts in your company's name, with a named account manager.
Open accountQuestions
Can I pay a Philippine supplier in US dollars?
Yes. Many Philippine companies hold a dollar account in a foreign currency deposit unit (FCDU) alongside a peso account. Ask which account to use, because a dollar wire to a peso account is converted on arrival.
Does a Philippine exporter have to convert dollars to pesos?
No. Under Section 20 of the BSP Manual of Regulations on Foreign Exchange Transactions, export earnings may be sold for pesos, retained, or deposited in foreign currency accounts in the Philippines or abroad, at the exporter's option.
What is InstaPay?
InstaPay is the Philippines' real-time service for low-value peso payments, available 24/7 including weekends and holidays, with a limit of PHP 50,000 per transaction.
What is PESONet?
PESONet is an account-to-account service for bulk, recurring and non-time-sensitive peso payments, processed on banking days.
What does a Philippine bank charge to receive a wire?
Each bank sets its own charges. BPI lists a minimum of USD 6.50 to credit an inward SWIFT remittance to a dollar account and PHP 150 to a peso account, net of other banks' fees.
What does Helm charge to pay a supplier in the Philippines?
Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment.
References
- Bangko Sentral ng Pilipinas: Manual of Regulations on Foreign Exchange Transactions (version filed with the WTO)
- Security Bank: InstaPay for business (DigiBanker cash management)
- PSBank: PESONet and InstaPay FAQs
- BPI: Inward remittance fees
- Supreme Court of the Philippines: CIR v. American Express International, G.R. No. 152609 (29 June 2005)
This guide is general information for businesses, not financial, legal or tax advice. Rules, fees and timings were checked against the sources listed on the review date and may change.