The Turkish Lira has become the fourth most popular currency at the country’s leading bureaux de change, as British holidaymakers start to desert the increasingly-expensive Eurozone.
By Harry Wallop, Consumer Affairs Editor
Last Updated: 5:51PM BST 21 Apr 2009
According to the Post Office, which changes £1 in every £3 that holidaymakers take overseas, the demand for Turkish Lira increased by 21 per cent last year and is on course to grow again this year.
Last year it overtook the Canadian Dollar to become the fourth most popular currency and if its current popularity continues it could overtake the Australian dollar to reach the third spot by the end of this year.
The popularity of the currency is the latest evidence to suggest destinations in the Eurozone, such as Spain and Italy, have fallen out of favour with holidaymakers because of the collapse in the value of the pound.
A year ago £1 would have bought €1.27. Though it has improved greatly over the last month from a low of €1.03, it only buys €1.13 this week.
In contrast the Lira has remained stable at about £1 to 2.40 Turkish Lira over the course of the last 12 months.
OAG, a research company which monitors passenger numbers around the world, indicated that the number of passengers leaving the UK in the first three months of this year fell by 10.5 per cent, with 5.28 million fewer seats filled than a year ago.
Most of this slump has been driven by a sharp fall in trips to Europe. The Civil Aviation Authority said traffic between Heathrow and the Eurozone had fallen by 8.7 per cent, while traffic to other destinations was up by 1.8 per cent.
Turkey has emerged as one of the winners, offering holidaymakers a range of cheap hotel rooms, combined with the promise of low priced meals, drink and trips.
Sarah Munro, head of travel at the Post Office, said: “We have seen unprecedented demand for lira over the past year. Turkey is still cheaper than anywhere in the eurozone.
“The strength of the euro compared with the weakness of the Turkish lira against sterling is obviously having an impact and 2009 sales to date suggest another growth year for Turkey. That is why we are extending our over the counter service for Turkish lira from 1,400 to 4,000 Post Office branches.”
Previously customers needed to order Lira in advance if they wanted to change money at the great majority of Post Offices.
The Lira was the fourth most popular currency last year, behind the euro, dollar and Australian dollar.
So far this year, demand has increased by 9 per cent, compared with last year. The Lira is expected to overtake the Australian dollar to become the third most popular currency.
Source: www.telegraph.co.uk, England, 21 Apr 2009
[2]
Cash boost for Turkish sunseekers
THE Post Office has more than doubled the number of branches where Turkish lira can be bought over the counter.
The move comes as or holiday bookings to this summer’s most popular foreign destination continues to grow.
After seeing double-digit growth in demand for lira over the past two months compared with a year ago, 12 Post Office branches in Lanarkshire are part of 4000 Post Office bureau de change branches in the UK offering instant currency on the spot.
Until mid-May, customers buying Turkish lira will benefit from a special deal offering an exclusive exchange rate daily without imposing any minimum spend conditions.
The move comes after the Post Office reported a 21% increase in sales of Turkish lira in 2008.
The Post Office warns people planning travel to Turkey to watch the exchange rate movements carefully as the lira has proved more volatile than most currencies.
Source: Glasgow Evening Times, Scotland, 24/04/09
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