The Aussie dollar and what it means for domestic tourism…

Investor ‘flight’ to safe investments and sinking commodity prices, have driven the Australian dollar to new six-year lows this week, as the Aussie slipped below US74¢ for the first time since May 2009 in overnight international trade on Tuesday. This week's decline, to a low of US73.98¢, means the Australian unit has lost more than 9 per cent against the greenback since the middle of May this year, and more than 20 per cent in the past 12 months. The dropping dollar is great news for tourism and for every cloud there is a silver lining. Now is the time to buy lifestyle and tourism based business – not only can you “live the dream”, but be on-board with an industry that is growing. The tourism industry is in line to profit from an even lower Australian dollar as overseas tourists and travelers get more dollars for their pounds, euros and yuan. – in an improved exchange rate. This drop (caused by lower commodity prices) provides a welcome boost to many parts of the services sector: including cafes, bars, restaurants and tourist attractions. Tourism Australia managing director John O'Sullivan said that a weaker exchange rate would encourage foreign tourists to spend more in Australia. "We're trying to get the industry to $115 billion in overnight expenditure by 2020. We're currently at $83 billion.” Why not get on-board this strengthening sector – and reap the benefits now?   Kane Dean Business broker I don’t sell business I sell lifestyles