What the sliding Aussie dollar means for travellers

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This was published 10 years ago

What the sliding Aussie dollar means for travellers

By Michael Gebicki
In the neighbourhood: Pinang Peranakan Mansion in Penang, Malaysia, an ideal destination in Australia's region.

In the neighbourhood: Pinang Peranakan Mansion in Penang, Malaysia, an ideal destination in Australia's region.Credit: Getty Images

Everyone asks ... What does the shrinking Aussie dollar mean for travellers?

The Australian dollar is finally on the slide. In late March, one Aussie dollar would fetch about $US1.02 from an ATM in the US, or 80 euro cents. Two months later that same dollar would get you just 96 US cents, or 74 euro cents. Over that period, your purchasing power has dropped by about 6 per cent against both currencies. Where the dollar goes from here nobody really knows.

If you believe this is the start of a long decline and you have an overseas trip on the horizon, you might decide to lock in at the current rate by buying foreign currency notes or traveller's cheques. If you do, you're depriving yourself of the earning power of those dollars that you use to buy foreign currency — what economists call opportunity cost. If you buy foreign currency in the form of notes, they can be lost or stolen, and do you really want to be travelling overseas with a substantial bundle of cash?

You might consider a prepaid currency card. The Travelex Cash Passport (travelex.com.au), ANZ Travel Card (anztravelcard.com) and the Commonwealth Bank Travel Money Card (commbank.com.au) are among the leading candidates. I use the GE 28 Degrees MasterCard (28degreescard.com.au), which charges no foreign transaction fees and offers a better rate of exchange than the travel money cards without any initial purchase fees or reload fees.

Shop around for a holiday-season getaway

My wife and I are contemplating spending Christmas-New Year's away on our own for a change — especially for December 30, which is our 40th wedding anniversary — but prices for airfares and accommodation seem to almost double at that time. Is there anywhere within 10 hours' flying time where this is not the case?
- R. Smith, Bundanoon.

Millions of people are on the move over Christmas, especially so from Australia because it coincides with the summer holidays, and the price of flights and accommodation spreads wings.

I have a sister-in-law who sometimes books flights for the evening of December 31. She reckons most of the world is partying with friends, and airlines drop prices that night to try to fill seats.

You might look at a couple of the discount carriers that operate between Sydney and Asia, such as Air Asia (airasia.com) and Scoot (flyscoot.com). With Air Asia, you could fly from Sydney to Penang in late December, returning about mid-January, for less than $900.

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Another alternative might be a package holiday. Some packages cut out in early December, but not all. Take a look at holiday packages at Flight Centre (flightcentre.com.au) and you might find something that fits, maybe even in the "Island Honeymoons" department.

Family train travel dilemma

Travelling in August/September with two adults and three children aged 6, 8 and 9. We need trains London-Paris, Venice-Florence, Florence-Rome, and wonder how to book. Can we get a family multi-trip ticket? Is there any reason we should or shouldn't travel economy or first class on these short trips?
- C. Smith, Waurn Ponds, Vic.

This sounds like a job for Rail Europe (raileurope.com.au). They can sort out all your train tickets and deliver them to you. Since these are short journeys, a rail pass will probably not work in your favour, but Rail Europe can advise. You can contact them on (02) 9262 1268.

Second-class travel should be fine; this is the way most European families travel. Almost without exception, intercity trains are super comfortable and there is no need to pay for first-class. A fabulous resource for train travel is The Man in Seat 61 (seat61.com).

When in Rome ... touring with the kids

My husband and two kids (seven and 10) are interested in taking a private walking tour of the ancient sites in Rome in September. Can you recommend kid-friendly tour operators? I've found a couple, but with prices starting at €300 ($400) for a three- to four-hour tour, I'm wondering if it will be worth it.
- K. McNamara, Yarraville, Vic.

Private guided tours in Rome with a quality guide are expensive, but you get what you pay for. Agnes Crawford is a British architectural historian who has lived in Rome since 2000 and her tailor-made walking tours, Understanding Rome (understandingrome.com) have a great reputation.

As well as walking you through the worlds of Caravaggio and Trajan, she also knows where to get the best gelato and her tour will give you an insider's view of Rome that will make the city come alive. She's also a big hit with children.

For a three-hour tour, Crawford charges €250, excluding admission charges. Not exactly cheap, but you can find plenty of online reviews of Understanding Rome, and nobody mentions the price.

Finding magic in Sri Lanka

My friend and I are visiting Sri Lanka for two weeks and we are looking to experience both the relaxing beaches and Sri Lankan culture. Do you have any suggestions for "must-see" places which we should include in our itinerary? Also, what is the best mode of transport?
- K. Dodsworth, Minnamurra.

Most travellers in Sri Lanka follow a well-worn path and it's hard to deviate too much but, with a little imagination, you can weave some magic into the journey.

From Colombo, visit the ruined cities of Anuradhapura, Polonnaruwa, and the impressive rock dome of Sigiriya. Turn south to spend a couple of days in Kandy, famous for the Temple of the Tooth, then head south through the tea plantations. Deep on the south-west coast, the ancient port of Galle is a city of sleepy fascination and a World Heritage site. Between Galle and Colombo is the resort coast, the place to relax before returning to the capital.

Many travellers hire a car and English-speaking driver, which gives you the freedom to go where you want. Express buses also operate on intercity routes.

Exotic Lanka Holidays (exoticlankaholidays.com.au) is a Sydney-based specialist in the area.

Over to you

Beginning on June 23, The Tripologist will introduce a new feature. Called Over to You, this is a chance for you to share treasured travel memories, toss around hot topics and give other travellers the benefit of your experiences. Selected submissions will be published on this page in three weeks, with a Lonely Planet guidebook to each. First topic: Have you tried the new Qantas-Emirates route via Dubai, and how did it work for you? Answers in 50 words or less to tripologist101@gmail.com. Any topic you’d like discussed, let me know.

If you have travel questions, we'd love to hear from you. Include the name of your suburb or town and send it to tripologist101@gmail.com. Personal correspondence cannot be entered into. Only questions appearing in print will be answered. All published questions win a Lonely Planet guidebook.

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