Bealinehx

Well most expats have frozen State Pensions and the Philippines is a rare exception because, as I understand it, there are reciprocal social security benefits, of which I know nothing. Perhaps our good fortune is the large numbers of Philippine healthcare workers within the NHS. Well paranoia is a well worn trait in this land of 7,000 islands.

Gazza-d

There have been talks that the Philippines government may scrap the reciprocal arrangement.

Bealinehx

Well let's hope the talks take a loooong time.

Raffin

You may not have noticed that the Pound is now at a 2 year high against the PhP and close to a 5 year high.

Bealinehx

Yes let's enjoy the good times, as long as they last. The Brexit referendum really did not do we expats any favours.
I fondly remember the days when it was over 100 pesos to the pound.

Raffin

Entrenched positions leading to a default in the US over the debt ceiling could raise the rate here next month?

Philosophical 11

I think it's mainly due to the weakness of the php (escalating inflation, interest rate rise and widening trade deficit). But hey, every little helps. Saw a forecast recently that the rate will be going up to 73 in the very near term. Added to this, a 10% hike on my two pensions gives me a warm glow inside.

But I am more focused on the £/$ rate. I need to fork out $2900 soon for my SRRV. Rate was close to parity a few months back, now it's 1.26.. Certainly expect it to rise when the US runs out of money in a few weeks time, although they will probably just print more money as before. And of course we have BRICS looming. Interesting times.

Raffin

BBC says UK interest rates expected to rise again.

Once the US gets through the debt ceiling issue they're into the run up to the General Election. Having just watched a CNN Town Hall with Trump I don't think the USD will be seen as a safe haven. Among many other disturbing things Trump did not commit to respecting the result of the next election.

Philosophical 11

Yes, I saw parts of that interview, and agree with you. He still maintains that the last election was fixed and will only recognise the 2024 election if he believes it is fair. In other words if he wins. And yes...many other disturbing subjects were covered but full marks to the CNN reporter who was like a dog with a bone.

Rumours as you suggest are rife that another interest rise is imminent. Another squeeze on the economy. 0.25% doesn't sound a lot, but there must be a tipping point somewhere. However, it will be interesting to see what the money markets think of this. Especially in relation to the £.

Raffin

Good to see the pound climbing into the 70s. Good to get out of the 65-70 range. Base rates said to be increasing again next week as inflation stays high. Will it last though, as mortgage rates are rising near to the levels seen late last year? Not good for the longer term unless inflation falls.

Bealinehx

Other factors are the US economy and what on earth happens here.

Raffin

The US$ this month has fallen against major currencies, despite the debt agreement.
The PhP has strengthened a bit just lately against the dollar.

Bealinehx

I always take a mid to long term view.

Raffin

But unless you live from month to month here or just automatically debit your pension you need to decide when to remit. Longer term I'm not expecting much more appreciation from the pound. The economy in a very uncertain place now and trouble in the Tory party.

Bealinehx

Agreed. Remember those heady days when 110-120 pesos/£ was the norm?