peso

chica

New member
Feb 9, 2004
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We get every day less peso's for our euro's.
My question is how low can it gets.
I understand its better now for dominican people they can buy more for the same salary.
 

Ken

Platinum
Jan 1, 2002
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chica said:
We get every day less peso's for our euro's.
My question is how low can it gets.
I understand its better now for dominican people they can buy more for the same salary.

Forecasts are that you will get more for your euros in the future. The free zones and tourism industry are putting pressure on the government because at the current artificially controlled low rate, they are not competitive.

Re purchasing power of Dominican people, unfortunately the the prices in the supermarkets, etc., have not yet come down much.
 

la_barbie

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May 6, 2004
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Jimmydr said:
Gas prices have gone up, I believe.

Ok, i swear when i was there last week that when we stopped in Playa Dorada it said that the Euro gave you 77 pesos, and when i was talking to someone the other day they said the euro is at like 45 pesos..... can someone clarify it and tell me if i had my beer googles on...... ?!?! I work part time at a currency converter place and i can buy forgein money for cheappppppp and was thinking of bringing euros next time cause you get NADA for USD anymore
 

Lechero

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Aug 11, 2004
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Eur/usd

The US Dollar traded at a historical low of 1.30/EUR yesterday!
Perhaps $RD/EUR was as low as 34 or as high as 40, but not 77! You almost never get as many Pesos/EUR as you should based on EUR/USD rate.

Maybe your eyeglass Rx is too rosado!
 

AnnaC

Gold
Jan 2, 2002
16,050
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Does anyone know what the Canadian dollar is getting these days? In pesos that is.

Thanks
 

Rocky

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Apr 4, 2002
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chica said:
I understand its better now for dominican people they can buy more for the same salary.
I'm afraid this is incorrect.
The Dominicans are suffering just as much as those who have dollars to change.
Prices have not come down in pesos, other than a few select items, and not proportionately to the rise in value of the pesos.
It's only a matter of time that the pesos will return to it's real value, but in the meantime, it's going to be a bumpy ride.
All those who voted for Hippolito can share the blame in the economic crisis we now face.
Thank God that we will recover.
Another 4 years with El Burro and we would have been bankrupt.
 

Spirit7

New member
Aug 26, 2004
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What goes down....

You've heard of 'what goes up has to come down'....well, let's hope it works the other way too....'what goes down, has to go back up'....anyways, the general consensus is that it will come back up and should settle, eventually, at about 35 to 1....I HOPE!, since I earn greenbacks. Prices will never come back down in proportion; not in this culture.
 

ERICKXSON

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Dec 24, 2002
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www.creambay.com
BLAH BLAH BLAH BLAH, hey guys wo lives in the island when the dollar goes down must of the stuff goes down i loved it when it was 50 to 1 now i need to love it at 25 to 1
 

Chirimoya

Well-known member
Dec 9, 2002
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Today's Diario Libre reports that the price of the basic basket of goods ('canasta basica') has gone down by 21%.

The paper also quotes Leonel as saying "Now it's the turn of those at the lower end (i.e. the poor) to enjoy the fall of the dollar". No one mentions that the poor are also dependent on US$ remittances, but then again they all kept quiet about the relative bonanza they must have enjoyed when the dollar was at RD$55!

I'm not convinced by the so-called strengthening of the peso: even to an economic illiterate like myself it is obvious that it is artificially manipulated, and could result in chaos further down the line. When the peso was at its weakest I enjoyed a good few months of getting RD$80 or more for my GBP1, which allowed me to indulge in many luxuries for far less than their actual market value: supermarket shopping, clothes, toys, school fees, meals out, etc. The current exchange rate is not so favourable, but merely balances it out.

Is there anyone out there who thinks this will last for much longer?
 

Barnabe

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Dec 20, 2002
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Chirimoya said:
Today's Diario Libre reports that the price of the basic basket of goods ('canasta basica') has gone down by 21%.

The paper also quotes Leonel as saying "Now it's the turn of those at the lower end (i.e. the poor) to enjoy the fall of the dollar". No one mentions that the poor are also dependent on US$ remittances, but then again they all kept quiet about the relative bonanza they must have enjoyed when the dollar was at RD$55!

I'm not convinced by the so-called strengthening of the peso: even to an economic illiterate like myself it is obvious that it is artificially manipulated, and could result in chaos further down the line. When the peso was at its weakest I enjoyed a good few months of getting RD$80 or more for my GBP1, which allowed me to indulge in many luxuries for far less than their actual market value: supermarket shopping, clothes, toys, school fees, meals out, etc. The current exchange rate is not so favourable, but merely balances it out.

Is there anyone out there who thinks this will last for much longer?

I am also an economics illiterate but
- the "diario libre" report confirms what you can see and hear on the street, in contradiction to so many posts here
- Even if it could be expected that the prices go down further, a 21% drop on basic products have a tremendous impact on people's life
- that's why a vast majority of people hopes it will go down further
- of course all those who have earnings in whatever foreign currency have a enormous and negative impact on their daily life. They are losing more now that they were winning when the peso dropped. Imho they will not recover their pre-hippo purchasing power soon, if ever they do.

About the manipulation, in the same speech Leonel denied (of course he denied, some will say..) any manipulation, and added that the BC had not the power to do that.

In hippo's last year, the scheme was clear: print pesos inorganicos, and sweep all the dollars on the market, at whatever price, it's free anyway, and then take the money and run.

I wish somebody here can explain me:
- how this so-called manipulation works?
- how comes you can buy dollars and why there is no black market, if the rate is manipulated?

The Presidente price has always been ridiculous, the excise reform is just an opportunity to increase it again, as long as ignorant Dominicans will consider it the Marvel of the Beer World it will be so.

Barnab?
 

liam1

Bronze
Jun 9, 2004
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Barnabe said:
I wish somebody here can explain me:
- how this so-called manipulation works?

i'm also an economics illiterate but to me it seems simple; we have an X amount of pesos and we need X amount of dollars to make our payment to the IMF, what do we do? we either print more pesos to buy dollars and couse inflation or we appreciate the peso to whatever level we choose so we can buy more dollars with the pesos that we have right now. they choose to appreciate the peso to the extreme.


ps. this would all be fine it the prices were following the peso rise/fall.
 
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