Exchange rate nightmares

I booked a flight to Sri Lanka from UK about 6 or 7 weeks ago since when the sterling exchange rate has fallen like a stone. From about 205 rupees it is down today to 164. I don't know if will carry on falling or what (even if I did use to teach Economics!) As Sterling is so weak I am wondering if is worth changing my money into dollars now and taking them in to exchange instead of sterling. I am flying out on 28 December and can't decide whether to just see what happens or to convert to dollars. Pity I can't easily get rupees here in advance I suppose. I am worried about producing sterling notes or TCs in a bank and everyone laughing.

If it comes to the worst I can spend the days repairing sandals by the roadside or perhaps going round with a clipboard collecting money for deaf children. " You see, these people all gave 500 rupees and here are their names and addresses. Very kind people!" My other plan (which I have thought about for years and never got round to doing) is to take in loads of cheap little battery fans and sell them. I am amazed I have never seen them for sale in SL and whenever I produce one I always end up giving it away to some deserving soul.

But still, I can't wait to get on that plane. Anyone have any ideas what to do in Doha airport for 5 hours?

HI Steve,
Problems. Problems, Problems,..
.What to do .?

I've got the same problem as you. I've been watching the pound sink against the rupee .
I'm not flying out until beginning of February but I'm not sure if that gives me an advantage or not.
The crazy exchange rate is because, after years of a floating rupee, about the beginning of this year, our dear friend, Mr Rajapaksa, decided to peg the rupee to the dollar as it once used to be.
Now, as the dollar is rising against the pound, it's dragging the rupee up with it.
Our nice Mr Rajapaksa thinks this is all great because he thinks it will give him more credibility as he borrows more and more cash from the Chinese, Japanese, Iranians, etc.and also enables him to get lots of guns and stuff on credit.

Trouble is, as the pound goes down against the dollar and the over inflated rupee, companies like M&S, will stop buying from the Sri Lankan textile / clothing factories and other Sri Lankan exports , which will result in most of the Sri Lankans being out of work,

The I.M.F. have told Rajapaksa that he needs to allow the rupee to float before the currency collapses completely but him and his family, who are now all cabinet ministers on huge salaries, think that everything is going fine.
So far, he's not budging...
Come the new year, I might need to take over your sandal repair spot if you get a decent client list going.A good spot would be on the corner by the market, next to Negombo Clock Tower.
The clip board venture is a little over subscribed at the moment. Just no vacancies anywhere.
The battery fans could be a good line . Val's got one that is attached to a plastic bottle which sprays a very fine water mist as you wave the fan in front of your face. Trouble is, if all the factories close then no one will be able to afford them.

As I said,....What to do.?.
Like you, I can't wait to get back out there.
Rod.

It has to change a lot in the desired direction to pay for the extra exchange commission. Its hard to give advice given the world volatility at the moment. Yen was a very good bet as opposed to the dollar. However, Japan has just followed the Euro zone into recession. China's government figures are masking a slow down there as well. Hard to find a refuge these days.

My Baidu just did a 45 USD dump today*&%#. I am mostly cash short of a quick bargain buy of Baidu. Pray..

https://www.keellssuper.com/contentsv2/Products/detail.asp?ItmID=5054

50p for a small beer - shouldn't be a problem

could be worse - try thinking in $banana - formerly Aussie dollars..

can you imagine how relieved the locals are, that their currency is not currently floating (lankans are not renowned for water skills - although their old 5p aluminium coin if placed correctly will actually float)

The reductions in train, bus fares etc.. wouldn't be possible without a fixed rupee

Mr Egghopper is right really - it is still a very cheap place by western standards and I am sure the current situation has some benefits to local people as well as disadvantages. I keep seeing that prices of some things have been brought down but others have risen. I notice the difference when I send bits of money occasionally. Western Union are currently offering about 155 I think so anything I send is less than I think it is going to be. Anyway, I can probably afford a Lion beer and rice and curry for New Year's Eve!

Maybe buses rather than car travel though. And Rod, I have a spot next to Galle cricket ground in mind for the sandal repairs if Negombo does not work outIncidentally I once nearly got killed there when a coconut fell out of a tree and me by inches.Clearly it was not my time to go.

Hello Steve,
There's just been a budget in Sri Lanka and you will be glad to hear that along with the fall in fuel prices, transport costs have been ordered to be dropped by 20% . In theory that means that the biggest cost, ie; getting around will fall dramatically. I tried this with a three wheel driver.... 'How much?,,,, 'well, this is the first,,,,,' 'How much then?,,,,...I ended up giving him 10rs less.
Also in theory all other costs will drop as the reason for price increases in Sri Lanka was directly linked to the rise in fuel prices.
On the other hand. there is a 50-100% tax now imposes on all imports or imported goods. It makes you think.
All the best Em

Hello Steve,
We recently went through Doha. The trick is, to 'borrow' a nice red blanket, (with the airline logo on) , most of the Africans seem to be doing it. You may be able to claim a free meal. We stayed for ages and so got two. But, it means queuing and being questioned at length by a security person, then you get a slip of paper which can be exchanged for a rice curry and an orange on the top and a coke.
No really, its a great airport and the video choice on the plane is better than any (hundreds). I watched several ealing comedies, the white stripes and tv. Sri Lanka is waiting and looking forward to seeing you again.
Don't worry about the money, the best things are free.
best wishes
Chris

Hi Emily,
I know an order has been made to drop transport prices but I read that the operators are refusing to impiment that as they claim that the import tax rise, for spares, etc more than covers the fuel price drop.
I read through the budget proposals and over all, the government is taking quite a bit more out of the pockets of the people than they are putting back in.
Rod.

I agree with Beebopbeedoobi ... the best bits in Sri Lanka are free ... a swim in a warm river with kingfishers darting past, smiles and sharing a laugh with the wonderful welcoming people, sunshine, heat, the smell of incense at the temples and flags fluttering underneath a blue sky, a game of cricket on the beach with the local boys ... oh and a king coconut drink from the roadside is still affordable even if the beer is going up a bit. Ahhhh! I CANNOT WAIT another 7 weeks to be back there, and at least my flight is paid for .....

Sue

Hello again,
You are right there Rod. Luckily all i have in my pockets are my hands.
I also agree with Sue, time to enjoy life.
Em

What a lot of positive messages. I feel like packing my bags tonight. I had a long chat yesterday with my friend from Kandy who is currently on a 5 day guiding trip round the ancient cities and we were planning some things for when I arrive. I think a visit to Chris is a priority, to see how many more dogs he has acquired and to check under the furniture for cobras and to discuss Bruce Springsteen.

A possible trip to Trinco came up, a place I have never got to. Anyone know how safe it is at the moment? I get the idea the fighting has moved north and south and maybe Trinco is quite accessible. I am aware it may be wet though as I think it is the end of the monsoon. Any thoughts from people out there at present? I'd have to check that the UK government is not warning against going to Trinco as that invalidates any travel insurance.

Knuckles Range looks a favourite too - so beautiful. Even better than the area round Ella in my opinion. We may even go to meet the Veddhas - he has an arrangement with them to bring visitors for an overnight stay. Whatever, I can't wait to get Christmas over and be on my way.

HI Steve,
Good to see you getting on the site regularly again. You've been missed as you havn't been your usual prolific self as of late.
I havn't been to Trinco lately, in fact, not for a couple of years but to me, the main attraction there was the beaches at Upaveli and Nilaveli, just outside Trinco to the north.

The best beaches I've seen in Lanka.
At one place, there's an island about 1 mile off shore, called Pigeon Island . When I was there, there were plenty of boats waiting to take visitors out , leave you for the day and collect you at a pre arranged time. Reason for staying there was the snorkelling.
Fantastic coral in shallow water and an amazing array of really colouful fish.

As you said, the area seems to be clear and I reckon if there was any trouble it would be in Trinco town, not out on the beaches. The north east monsoon doesn't usually bring as much rain as the south west one does so you may be lucky.

I agree with you about the Knuckles. I've seen a little and plan another excursion up there in February. Amazing scenery and all the time I was up there, I didn't see a single plastic bag fluttering in the bushes.

I don't know if I'm gonna be able to get around to see Chris next trip. I'd like to ( I owe him a packet of ginger nut biscuits ) ( or two ) but as we'll have my brother and his wife along , It could be a bit much, 4 of us marching in there.

Like you, I can't wait.Should be a good party down south near Tangalle. One of the kids we've been helping with extra curricular tuition fees has just passed all her exams and attained the qualifications to go to uni. Her Dad is building an extension on the side of their tsunami house, which he insists is for us to live in when ever we're in Lanka and I believe thats just about finished. Should be some celebrating done.

Roll on Feb.
Rod.

That sounds fantastic. I could take Chris the biscuits and maybe you can settle up with me next time you are in Leicester or I am in the wilds of Wales.

I found myself really busy with work and I was coming home too tired to spend time online. Thing are better now so here I am. I also find I have more to offer here if I have been in SL recently and it will be almost 2 years when I go in December.

Saminda (my Kandy "son") was in Minneriya today and saw lots of elephants. His clients were over the to see so many.

oops

Further to post 12, insert the word "moon" where it seems appropriate.

didn't even notice it was missing. Anyway, duly inserted.