Euro Dive To Boost Gran Canaria Vacations

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by: Osborne
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Word Count: 551
Date: Mon, 1 Nov 2010 Time: 11:15 AM
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As we approach 2011 there is some possible good news for the Gran Canaria vacations industry, from the same source that has seen the number of British visitors slip to the island in the last couple of years - the Foreign Exchange and currency rates.

The British Pound - Sterling - has rallied on the foreign exchanges in the last few weeks, and there are signs that it could go higher against the Euro in the months to come.

Driving down the value of the Euro is the fragile state of the Greek economy, with a high debt ratio to GDP. Other Eurozone countries have rallied around to try and get the Greek debt problem solved, but other member states aren't far behind in being just as vulnerable, Ireland and Cyprus for example.

The Spanish economy is also vulnerable, but if the Euro does fall in value it could mean good news for the Spanish economy overall as a large part of its GDP is from tourism, and Gran Canaria could see the return of British tourists who love the island but have been tempted by cheaper destinations in the last couple of years.

Turkey and Egypt have benefitted at Spain's expense, as tour operators not only promote good value deals for holidays there, but both are outside the Eurozone where the British Pound still buys a good amount of the local currency.

The Currency markets favour a strong government with a majority in the House of Commons big enough to vote through difficult decisions - and if the coalition stays together as they make hard decisons on public spending, it will send Sterling up in value.

But indications of a split in the coalition and not being able to vote through their spending plans will unsettle the markets over the future of the UK currency.

The spending plans are to be announced shortly, with most commentators speculating that the cuts will get voted through, but the opposition among the public is likely to be far less hostile than some European countries which have seen people take to the streets in protest in their hundreds of thousands.

If Sterling does increase in value in the weeks after the announcement of what services are to be cut, the timing couldn't be better for those taking holidays in Gran Canaria who will be able to buy more Euros for their spending money.

It would be good news too for tourists who visit for holidays later in the year - the Gran Canaria weather allows the island to be an all year vacation destination, along with the other Canary Islands, who see holidaymakers escape the Northern Europe chill for a break in the sun.

An increasingly attractive option for those wintering on the island is to have their own home without the cost of buying, through renting with specialist companies who do Gran Canaria villa holidays. Many have their own heated pool for the winter months.

Is sterling improves against the Euro, there could be more UK visitors for Gran Canaria holidays next winter, along with those who are considering where to take their 2011 summer vacations.

About the Author

villa holidays in Gran Canaria for next year are now available with yourgrancanaria.net

There are also tradtional hotel based holiday in Gran Canaria resources.