Amendment on Payment Obligations in Currency

"Domestic obligation" refers to any obligation contracted within the Philippines.
Provisions that aim to pay obligations in foreign currencies or in gold or specific coin form contravene this law.

Certain transactions are exempt from the prohibition and may stipulate payment terms differing from Philippine currency: a. Loans or investments involving foreign governments, their agencies, and international financial or banking institutions, provided these funds are identifiable. b. High-priority economic projects in agriculture, industry, and power development financed by foreign funds as determined by the National Economic Council. c. Forward exchange transactions between banks or between banks and persons or juridical entities. d. Import-export, international banking, financial investment, and industrial transactions.
In these cases, the agreed terms between the parties apply.

Except for the enumerated exceptions, all domestic obligations, whether previously or newly incurred, must be discharged in legal tender that is current at the time of payment.
If an obligation existed before this amendment and demanded payment in a foreign currency or particular coin, it shall now be discharged in Philippine currency at the exchange rate prevailing when the obligation was incurred.
If a loan is stipulated to be payable in a specific foreign currency, payment shall be made in that currency at the exchange rate prevailing on the date of payment.

All coins and currency issued by the Philippine government, including Central Bank notes, are declared legal tender for all debts, both public and private.