The Australian Dollars is back in a strength position for the first time since 1983. While this should be good news for the country’s economy, the recent rise of the country’s currency might actually hurt tourism. Less backpackers are expected to tour Australia and those still visiting will reduce their stays, as they will need to spend more on their trips.
According to the NT Chamber of Commerce, the high Aussie dollar may cause a reduced backpacker season. On Sunday, the Australian currency reached its peak value of 110.9 US cents, a top value since the Aussie dollar’s fall in December 1983. The chamber’s chief executive Chris Young was the one to point out the significant effect this shift in currency value will have on tourism:
“It’s going to have quite an impact on our backpacker season because, for overseas visitors coming to the Territory, it is going to be much more expensive for them and as a result they are not going to be able to stay here for as long. From an international competitor’s point of view, the higher Aussie dollar means that Australians selling overseas, our products are more expensive. But our buying power means that imports tend to be coming down in price.” Young explained.
According to Tourism and Transport Forum chief executive John Lee, Australia already had stronger competition of the travelers it attracted, having to top the offers of Asia-Pacific destinations such as Fiji, Indonesia or Thailand.
While Australia faces less arrivals and shorter stays in what foreign tourists are concerned, Australian travelers might enjoy a quite rewarding vacation. The strong currency will lead to more spending power and more Australians traveling abroad, yielding a drop in airfares.
By Amey MyersAmey, an intrepid traveler and avid blogger, roams the world, absorbing diverse cultures, flavors, and experiences. Her writing captures the essence of her adventures, inspiring others to explore. Amey's infectious passion for travel and storytelling epitomizes a life filled with exploration and adventure.
