Aussie Expats: Time to remit?

The Australian dollar last week hit an almost 3-year low at US$0.91 for A$1 at 8 am UAE time today (Sunday, July 7).

The Australian dollar hit an all-time low of US$0.60 against A$1 in October 2008, but had since gained currency and shot up to US$1.1 vs. A$1 on July 28, 2011.

The Australian currency was trading above par against the US dollar even as soon as on April 12, 2013, when it closed at US$1.05 against A$1, but has since plunged below the $1 threshold and is currently trading at US$0.90 against A$1.

For Australian expats who plan to spend their savings in Australia, this is the time to exchange dirhams into Australian dollars, financial experts advise.

“Now is the time and opportunity for Australian expatriates who eventually plan to spend their savings in Australia to capitalize on the currency move from AED (or USD) to AUD,” said Sean Abreu, Australian Specialist at Mondial Dubai.

The Australian dollar, considered to be one of the world’s most expensive currencies in recent times, has been on a downward spiral over the last couple of months, seeing a fall of more than 14 per cent in less than three months.

Earlier, Sean advised to wait and see, expecting a further drop of the currency, but now would be the right time to capitalise on the currency change, he believes.

However, the best option to benefit from the current economic climate in Australia depends on numerous factors.

If the expat is considering to relocate to Australia in the near future, currency exchange would be the way forward.

If this is not the case, there are several investment options. Onshore investment is not necessarily the best one, recommends Sean.

[Image via Shutterstock]

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