The Philippines is closely monitoring developments in the foreign exchange market but will let market forces set the peso's value against the dollar, a senior official of the central bank said on Monday.

The peso's depreciation is only temporary, Iluminada Sicat, senior assistant governor of the Bangko Sentral ng Pilipinas, told an economic briefing.

(Reporting by Mikhail Flores and Neil Jerome Morales; Editing by John Mair)