The 1969 Philippine balance of payments crisis was a currency crisis experienced by the Philippine economy as a result of heavy government spending linked to Ferdinand Marcos' campaign for his second presidential term in 1969.
[1][2][3] It was notable for being the first major economic crisis of the Marcos Administration, and for triggering the social unrest which was the rationalization for the proclamation of martial law in 1972.
[10] This campaign spending spree was so massive that it caused a balance of payments crisis,[1][2] so the government was compelled to seek a debt rescheduling plan with the International Monetary Fund.
[4] The IMF mandated stabilization plan which accompanied the agreement included numerous macroeconomic interventions, including a shift away from the Philippines’ historical economic strategy of import substitution industrialization and towards export-oriented industrialization; and the allowing the Philippine Peso to float and devalue.
[1] Marcos was proclaimed winner of the election in November 1969, and was inaugurated to his second term just before the new year, on December 30, 1969.