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A question on Currency Exchange (English Sterling Pound)?

Prior to the recession/financial crisis, the exchange rate between UK to my country was 1 pound was to 3.11. Now its 1 pound is to 2.29. how long do you think this drop will last? and the reasons why it may or may not? im looking forward to studyin in UK soon hence this query.

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One Response to “A question on Currency Exchange (English Sterling Pound)?”

  1. well it is really difficult to know without knowing what country you are from. The reason why it dropped is that less people from the UK are converting their pounds to whatever currency your country uses, normally meaning that they are not as interested in buying your exports. During an economic recession, countries will typically stick to their domestic products as they are cheaper. Also, as your currency has strengthened, it will be more expensive to buy exports from it. When the UK currency strengthens once again through higher interest rates in the UK which will most likely come about in 2012-2013, you will probably see this exchange rate begin to shift back to the way it was.

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