The Australian dollar's strength against other currencies is something that can make or break a holiday overseas. The ever-fluctuating currency market obviously had an altering effect on a person's perspective of how expensive a holiday is, depending on the dollars strength.
As a result, many savvy travellers are changing their usual travel destinations to ones offering better value for money. So if you want to see which countries stretch your dollar further then keep on reading. What I will say upfront though, is say goodbye to the UK and USA, and G’day to New Zealand, the Philippines and Vietnam.
If you keep an eye on the Australian currency’s exchange rate then you will be aware that it’s relatively weak currently. The Australian dollar was trading at 0.7142 to USD1 on Friday 6th November at 07:00 which was down from 0.7147 on Thursday 5th. The main cause at this time is related to the USA commodity market weakening due to the country moving away from the zero rates standard.
Whilst Westpac’s strategist, Imre Ppeizer is still forecasting that “the AUD remains vulnerable to further downside, with 71.07 US cents the immediate target,” I would be looking at places where my money is worth more. Recently I posted an article around Captainjack’s deal on an 8-night stay away in Bali for $859, which is a very good deal to consider if you like visiting that part of the world. Along with Bali, New Zealand is another a great alternative and much closer of course than Europe or the USA.
Expedia recently mentioned on its website that the NewZealand offers good value for money because its currency has remained stable while flights have also decreased in price. The more popular destinations within NZ are places like Taupo, Fiordland and Napier, according to Expedia’s managing director in Australia, Georg Ruebensal.
He also continued to say that Indonesia, Vietnam and the Phillipines were also increasing in popularity with Aussies.
What Are the More Affordable Options?
The dollar has lost its value against the US dollar and the Euro making holidays there more expensive, but the shift has made Russia more affordable this year. Meanwhile, the strength of the Pound Sterling has made the UK the most expensive place to travel to this year.
If you enjoy visiting the North American continent for Christmas, but still wish to save money then Canada is a great alternative because you'll receive a far more favourable conversion rate compared to travelling within the USA. However, if you have commitments in the USA, then the only good news is that flight prices have come down in the past 2 months compared to last year.
To help you bring down the cost of flights and hotels even further, I’ve compiled a short list of all the travel related Buckscoop discount codes, coupons and vouchers that are currently live below:
Why has the Dollar Decreased
The Australian dollar was its strongest against the US dollar in 2011 when it was worth US$1.11. But, since 2013 it's been in a steady decline against not only the USD but also other currencies around the world. As it stands today, our dollar is only worth 70¢ against the USD, although the Commonwealth Bank believe it could decline as far as 65¢.
China is a large factor effecting the Aussie dollar's strength because it's one of Australia’s largest export markets. As demand decreases, so too does investment attractiveness within Australia.
Smart Tips to Save on Travel
Besides focusing on destinations where the Aussie Dollar goes further, below is a list of helpful articles on Buckscoop to advise you on ways to save money on your next journey, whether that be domestic or international.
- Use the free Choice.com.au review and comparison of travel insurance.
- Use Buckscoop’s recommended flight comparison websites.
- Make the most of your Frequent Flyer points.
- Save money by knowing these top Hotel tips and tricks.
- Know your baggage allowances on different Australian airlines.
- Use XE.com to check your currency value in other countries before you fly.
- Avoid paying expensive foreign currency rates when exchanging money.
- Never pay for expensive international calls with again.
- Try booking a package deal. Expedia claim travellers can save up to $200 on average.