2.16
#1
2.16
enough said
Stopped thinking about how much we may lose by keeping money for our house in our UK bank - the sale was slow and we only received the money 2 weeks ago, but even at 2.22 then, should we have changed it? Who knows?
Soon it's going to impact very much on what we can buy too, without PR we can't borrow as much as if we had it.
Jan
Stopped thinking about how much we may lose by keeping money for our house in our UK bank - the sale was slow and we only received the money 2 weeks ago, but even at 2.22 then, should we have changed it? Who knows?
Soon it's going to impact very much on what we can buy too, without PR we can't borrow as much as if we had it.
Jan
#2
Re: 2.16
genesis 2.16 ? "you may surely eat of every tree of the garden?" or something to do with the exchange rate?
#4
Enjoying retirement
Joined: Jun 2008
Location: Rural Taranaki
Posts: 320
Re: 2.16
2.16 is the lowest its been since floatation in 1984.. a 25 year low..
As has been said before, its only a matter of time before the tourists stop coming. At 2.16 to the pound NZ is going to look bloody expensive. Then the country is in real trouble
As has been said before, its only a matter of time before the tourists stop coming. At 2.16 to the pound NZ is going to look bloody expensive. Then the country is in real trouble
#5
Re: 2.16
I don't have one for New Zealand Pesos but this makes it clear that the pound sliding in value is not a new problem:
#6
Enjoying retirement
Joined: Jun 2008
Location: Rural Taranaki
Posts: 320
Re: 2.16
"Since we are net importers however on balance won’t this actually be better for most New Zealanders? Our dollars will go further towards buying Italian shoes and coffee beans (which seem to be out biggest retail industries)"
Sure, but you can't afford to buy all those nice imported goods if you haven't got a job.
We may be net importers overall (particularly of coffee ) but the dairy industry, meat, fish, fruit and tourism all contribute a major part of NZs income by exporting, and they are major employers.
In the long run a high NZ dollar must mean loss of NZ jobs, so every Kiwi needs to be concerned about it
Sure, but you can't afford to buy all those nice imported goods if you haven't got a job.
We may be net importers overall (particularly of coffee ) but the dairy industry, meat, fish, fruit and tourism all contribute a major part of NZs income by exporting, and they are major employers.
In the long run a high NZ dollar must mean loss of NZ jobs, so every Kiwi needs to be concerned about it
#7
Re: 2.16
This could also be written:
That said the state of the New Zealand dollar and jobs market are both a reflection of the people we elect as a society to run the country and the type of society we have. Cause and effect. The old argument about the ballance governments must find on policy .
Originally Posted by NakiMan;7995783I
In the long run a low NZ dollar must mean effective loss of income so every Kiwi needs to be concerned about it
#8
Re: 2.16
And Bollard has said that he would not put up the OCR until end 2010. Oz Reserve is now 3.25%. If Alan does not hike the rates here (which could make the kiwi EVEN stronger) there could be a mass exodus of kiwi$$ to Oz for a better rate. This country is going to be in shit loads of trouble very, very soon. As you say the tourists will not come..if they do they will spend less and stay a shorter period. And how do you think our exports are looking on the world stage? The most expensive (exchange wise) since flotation. Something has to give.
#9
Re: 2.16
Originally Posted by Genesis 2 .16
And Bollard hath said
#10
Re: 2.16
Is not the underlying problem the UK and US economies tanking as opposed to the strength of the NZ$?
The current issue for NZ is inflation- which may lead to higher interest rates (note Australia) and hence an even stronger NZ$
M
The current issue for NZ is inflation- which may lead to higher interest rates (note Australia) and hence an even stronger NZ$
M
#11
Re: 2.16
Its alot to do with the UK printing lots of money to shovel their way out of the shite that they have gotten in. It also is to do with the strength of the kiwi. But alas the former is the main problem. It does look like the GBP is utterly shafted for the long term. For those of us with money in the UK we have to hope that in the short term the kiwi will lose some strength ..... as for the UK economy and the weakness of the GBP..how many years can you wait? I so feel for those who are or were hoping to cash up soon and come to NZ. How can anyone afford to do it now?????? So we are in the unenviable situation of having almost worthless currency in a country were the interst rates are at best complete shite. Then you have to pay your tax burden on the paltry interest you make on your UK money in NZ (if you are resident here). Life's a bitch aye???
#12
Account Closed
Joined: Aug 2007
Posts: 548
Re: 2.16
I@m getting 3% on my cah ISA here in the UK atm Genesis ..
#13
Re: 2.16
Alas you can't open ANYTHING in the UK to my understanding unless you are resident in the UK at the actual time. I have an account with The Nationwide and they will not allow us to open ANY new accounts although we have an existing one. I know that there is well over 3% to be had offshore BUT as someone pointed out to me its a risk (although we have in excess of the UK guarantee scheme in the one bank .....Kate does anyway..I am peniless!!) as the IoM and places like Eire may not have the wherewithall tp pay out the huge amounts if any banks fold.
Come to think of it the Uk is ACTUALLY broke, so I just have to hope that the Nationwide will stay afloat.
On a final note I am surprised at the lack of interest in threads like this (just 300 odd views at present), bearing in mind its such a huge issue for those who have wedge in the UK or who are about to do the move and change some serious GBPs. Just a thought.
Come to think of it the Uk is ACTUALLY broke, so I just have to hope that the Nationwide will stay afloat.
On a final note I am surprised at the lack of interest in threads like this (just 300 odd views at present), bearing in mind its such a huge issue for those who have wedge in the UK or who are about to do the move and change some serious GBPs. Just a thought.
#14
Re: 2.16
Alas you can't open ANYTHING in the UK to my understanding unless you are resident in the UK at the actual time. I have an account with The Nationwide and they will not allow us to open ANY new accounts although we have an existing one. I know that there is well over 3% to be had offshore BUT as someone pointed out to me its a risk (although we have in excess of the UK guarantee scheme in the one bank .....Kate does anyway..I am peniless!!) as the IoM and places like Eire may not have the wherewithall tp pay out the huge amounts if any banks fold.
Come to think of it the Uk is ACTUALLY broke, so I just have to hope that the Nationwide will stay afloat.
On a final note I am surprised at the lack of interest in threads like this (just 300 odd views at present), bearing in mind its such a huge issue for those who have wedge in the UK or who are about to do the move and change some serious GBPs. Just a thought.
Come to think of it the Uk is ACTUALLY broke, so I just have to hope that the Nationwide will stay afloat.
On a final note I am surprised at the lack of interest in threads like this (just 300 odd views at present), bearing in mind its such a huge issue for those who have wedge in the UK or who are about to do the move and change some serious GBPs. Just a thought.
Maybe we are all so depressed about our GB pounds withering away, relatively speaking, that we can't bring ourselves to join in. Erm, even though I started it
We are house hunting right now. We depend on the house sale proceeds in the UK for our hefty deposit as we don't have PR so we can borrow maximum 60%. We don't know whether to wait for PR and borrow a higher fraction- but we are in the hands of yet another MA so it could take ages - or bite the bullet. The reduction from 2.5 to 2.16 has lost us a lot of money and is now impacting on the type of property we can afford to buy, if we go ahead right now We are renting with 3 dogs at present, and were very lucky to find somewhere that would take them. The rental finishes in Feb next year, hence our need to buy.. decisions decisions
I also worry about leaving a lot of money in the UK at all: we can't open another account and do have more than the guaranteed savings limit in one account, so if the bank went tits up we would lose about 20 years worth of hard won equity.
Last time the dollar was this strong the banks stepped in in NZ, I think. but this time it's the GPpound weakness too, so I guess it won't happen?
It so pisses me off when my colleagues tell me they lost money too, because the rate went from 3 to 2.8 when they got here
On a serious note, of course this means that if you exchange at a rate like 2.16 (or worse god forbid), and then it goes up/recovers, then the door is probably well and truly shut as far as going back to your old lifestyle in the UK. We have no plans to go back, ever, as I moved here for promotion and it's been a huge success, career wise, but there may be people in that situation, which makes decisions even harder I guess.
Jan
#15
Re: 2.16
Maybe we are all so depressed about our GB pounds withering away, relatively speaking, that we can't bring ourselves to join in. Erm, even though I started it
We are house hunting right now. We depend on the house sale proceeds in the UK for our hefty deposit as we don't have PR so we can borrow maximum 60%. We don't know whether to wait for PR and borrow a higher fraction- but we are in the hands of yet another MA so it could take ages - or bite the bullet. The reduction from 2.5 to 2.16 has lost us a lot of money and is now impacting on the type of property we can afford to buy, if we go ahead right now We are renting with 3 dogs at present, and were very lucky to find somewhere that would take them. The rental finishes in Feb next year, hence our need to buy.. decisions decisions
I also worry about leaving a lot of money in the UK at all: we can't open another account and do have more than the guaranteed savings limit in one account, so if the bank went tits up we would lose about 20 years worth of hard won equity.
Last time the dollar was this strong the banks stepped in in NZ, I think. but this time it's the GPpound weakness too, so I guess it won't happen?
It so pisses me off when my colleagues tell me they lost money too, because the rate went from 3 to 2.8 when they got here
On a serious note, of course this means that if you exchange at a rate like 2.16 (or worse god forbid), and then it goes up/recovers, then the door is probably well and truly shut as far as going back to your old lifestyle in the UK. We have no plans to go back, ever, as I moved here for promotion and it's been a huge success, career wise, but there may be people in that situation, which makes decisions even harder I guess.
Jan
We are house hunting right now. We depend on the house sale proceeds in the UK for our hefty deposit as we don't have PR so we can borrow maximum 60%. We don't know whether to wait for PR and borrow a higher fraction- but we are in the hands of yet another MA so it could take ages - or bite the bullet. The reduction from 2.5 to 2.16 has lost us a lot of money and is now impacting on the type of property we can afford to buy, if we go ahead right now We are renting with 3 dogs at present, and were very lucky to find somewhere that would take them. The rental finishes in Feb next year, hence our need to buy.. decisions decisions
I also worry about leaving a lot of money in the UK at all: we can't open another account and do have more than the guaranteed savings limit in one account, so if the bank went tits up we would lose about 20 years worth of hard won equity.
Last time the dollar was this strong the banks stepped in in NZ, I think. but this time it's the GPpound weakness too, so I guess it won't happen?
It so pisses me off when my colleagues tell me they lost money too, because the rate went from 3 to 2.8 when they got here
On a serious note, of course this means that if you exchange at a rate like 2.16 (or worse god forbid), and then it goes up/recovers, then the door is probably well and truly shut as far as going back to your old lifestyle in the UK. We have no plans to go back, ever, as I moved here for promotion and it's been a huge success, career wise, but there may be people in that situation, which makes decisions even harder I guess.
Jan