First topic message reminder :

[size=150:1io4w701]Bulgaria has decided to 'indefinitely' delay talks to join the euro

Read more: [You must be registered and logged in to see this link.] ... z1SprYWTm7

Where does this leave the Leva being pegged against the Euro I wonder
Please read the bit about "
Things are so bad even Bulgaria won't join"

Where, if at all is the safest place to put your money
The reason I ask the question is that since there have been concerns about the Euro and it's possible demise, a number of people who left the UK for a better life are, I am told transferring their money/savings back to the UK as they feel it's safer there. Is that a fact or have I just been hearing things ::

You are probably correct Willowsend. I have put half of the money from our recent house sale in Bulgaria in an English bank. I lost quite a bit on the exchange euro to pound even though I took the risk of taking cash over. The money also took 3 weeks to clear (supposedly to check for forged notes!) as it was in high denomination notes. During this time the exchange had dropped a bit out of my favour. If you want to exchange a lot of money in an English exchange shop, remember to take your house sale documents with you. I didn't so had to use the bank who weren't so worried but a poorer exchange rate and the 3 week wait. Be warned. The exchange pound to euro seems stuck at 1.19 according to what I see on Euro News but its the euro to pound that is worrying for anyone trying to sell a home in Bulgaria to return to Britain.
I have tried to hedge my bets with savings in a leva account in Bulgaria and some completely liquid ready to spend when it all goes pear shaped [You must be registered and logged in to see this image.]
However, who knows what will happen to the leva should the euro collapse and we go back to levs again? I suppose the exchange of pound to lev will go back up to the giddy heights of 3levs to £ but that will only favour those people thinking of buying in Bulgaria in the near future. However, will it mean that the cost of products in Bulgaria will go down or up inflationwise??? Will we go back to Lichna Cartas? Its a hard call for those of us not well up on financial dealings. Most of us out here will just have to grin and bear it.
Any thoughts folks? Chin up, keep smiling and lets all hope the new year will bring better tidings.

oldun wrote:

I have put half of the money from our recent house sale in Bulgaria in an English bank. The exchange pound to euro seems stuck at 1.19 according to what I see on Euro News but its the euro to pound that is worrying for anyone trying to sell a home in Bulgaria to return to Britain. I have tried to hedge my bets with savings in a leva account in Bulgaria and some completely liquid ready to spend when it all goes pear shaped [You must be registered and logged in to see this image.]
However, who knows what will happen to the leva should the euro collapse and we go back to levs again? I suppose the exchange of pound to lev will go back up to the giddy heights of 3levs to £ but that will only favour those people thinking of buying in Bulgaria in the near future. However, will it mean that the cost of products in Bulgaria will go down or up inflationwise??? Will we go back to Lichna Cartas? Its a hard call for those of us not well up on financial dealings. Most of us out here will just have to grin and bear it.
Any thoughts folks? Chin up, keep smiling and lets all hope the new year will bring better tidings.

I believe you are right about keeping your money in Sterling. Of course for those of us in Bulgaria drawing our pensions from the UK in Sterling things should be hopefully OK. So let's keep smiling and cross our fingers that our money is safe wherever we have put it!!

[size=50:1i70xtby]Daily Telegraph

[size=150:1i70xtby]Euro Break-Up Not Ruled Out
Angela Merkel's economic adviser Weder di Mauro refuses to rule out eurozone break-up
One of German Chancellor Angela's Merkel's economic advisers, Beatrice Weder di Mauro, has refused to rule out a break-up of the eurozone, in an interview published on Thursday.

Beatrice Weder di Mauro warned that unless the financial crisis is intercepted quickly, it can lead to a recession in Germany. Ms Weder di Mauro, a member of the German Council of Economic Experts, said that while the collapse of the single currency would be "
bad for everyone involved"
, it cannot "
be completely excluded"
. When asked about a potential split, the 36-year-old Swiss economist told Germany's Bild.de: "
That would be bad for everyone involved - but not completely excluded. The policy has been trying for almost two years to contain the crisis and to draw firewalls. However, these walls are not rich yet."


She also warned that unless the financial crisis is intercepted quickly, it could lead to a recession in Germany, with the economy contracting 0.5pc, and leading to an increase in unemployment. "
[We need to] get the crisis under control quickly now,"
Ms Weder di Mauro said. "
Then the German economy in 2012 is expected to grow by around 0.4pc. But [if] the crisis should lead to zero growth in world trade, a contraction of the economy by 0.5pc is possible. Then, jobs [would be] in jeopardy."
The comments are likely to add further pressure on Ms Merkel, who has repeatedly refused to entertain thoughts of an EU collapse, even stating last month that "
it's never going to happen"
.

However, Ms Weder di Mauro blamed politicians for the two-and-a-half year eurozone debt crisis. "
The crisis was initially underestimated [by politicians] and too little was done. Now they sometimes cannot act as fast as they want. This is a problem, because the markets are nervous and impatient,"
she said. "
Some countries have taken part and individuals over the years [have] too much debt. The banking crisis has also driven the national debt. Now the fear is great that they cannot repay the debt. "
We need a triad: over-indebted eurozone nations must submit to a long-term insolvency rule. The others must undertake to reduce debt and stabilize the government budgets. With a debt settlement pact, the debt ratios may fall below 60pc over 20 years. This requires that the short-term interest rates are pushed through [with] mutual guarantees to a realistic level. "
If we succeed with a debt settlement pact, to stick together to stabilize the euro, no significant losses are expected. Failing that, consequences and costs are incalculable."

We need an orderly break-up of the Eurozone followed by a dismantling of the E.U. It's up to the 26 if they want a slow death of the Eurozone that prolongs the misery;
but either way, the E.U. will disintegrate.

I doubt it Daisy - The EU was created to be a Superpower in war. Everything else was a smoke screen. The single currency was for the same reason to finance it. Anyone could have told those in control, that trying to make all countries within Europe pay the same taxes and the same prices was economically a non-starter. Goodness knows how the EU can expect countries like Bulgaria to fall in line. This country's poverty is to be seen everywhere. However, it is strategically placed for certain fuels and flying zones.

Agree with oldun I think she's right, the eu was only set up as a super power and I do believe its mentioned somewhere in the bible? I'm not a religious person but I do remember reading an article about it sometime ago.

Have a look at this folks
[You must be registered and logged in to see this link.] ... oney_Daily
::

willowsend wrote:

Have a look at this folks
[You must be registered and logged in to see this link.] ... oney_Daily
::

Very interesting Bryan. Thank goodness BG is not in the Euro. But must agree that it would be a nightmare if someone had a mortgage on a property. :Headbang:As they say Times is Tight times are hard.

The Pound is on a high against the Euro
[You must be registered and logged in to see this link.] ... oney_Daily

[size=50:3dffloz3]Daily Telegraph

[size=150:3dffloz3]Euro won't collapse in 2012, says IMF chief Lagarde

The Euro is likely to survive 2012 despite the eurozone debt crisis, International Monetary Fund Managing Director Christine Lagarde said on Friday. IMF managing director Christine Lagarde said the euro would survive the debt crisis in the region."


"
Will 2012 be the end of the euro currency? I seriously don't think so. Its a young currency, its a solid one as well,"
she said on a visit to South Africa as part of her first tour of the continent since taking the IMF post. "
You have within the zone, not in relation to the currency, serious pressure and issues concerning the sovereign debt, concerning the strength of the banking system which are being addressed. But the currency itself is not one that would vanish or disappear in 2012, not at all."
Despite her confidence in the currency, Ms Lagarde said an escalation in the eurozone debt crisis would probably see the IMF to cut its forecast for global economic growth of 4pc in 2012.

This month European leaders will hold another summit to try to resolve the crisis which threatens the survival of the single currency. South African Finance Minister Pravin Gordhan said more action was needed globally to address currency volatility resulting from the euro zone crisis.
"
Clearly the current weakness in the currency is beneficial for exporters but has the flip side effect of inflationary pressures which the Reserve Bank has to actually deal with,"
he said. The South Africa rand had fallen against the euro and the dollar over the past year.

The question I ask is would they tell you anything different? and the answer to that is a big fat NO!

Quoted from the Christine Keeler case years ago 'well he (she) would say that wouldn't he (she)?'

Friday 13th looks to have been a bad for the Euro

Post taken from the Telegraph just 10 minutes ago
Latest
22.45 So, just to recap:

• Downgrades for NINE eurozone nations. Austria, France, Italy, Spain, Portugal, Malta, Cyprus, Slovenia and Slovakia.

• Austria and France have lost their AAA ratings, while Cyprus and Portugal have been cut to "
junk"
status - or below investment grade.

• All eurozone countries except Germany and Slovakia face a one in three chance of another downgrade before the end of 2013.

22.41 ...and want to know why France, Italy and Spain face further downgrades while Slovakia doesn't? Here's S&
P's reasoning:

The stable outlook reflects our current expectation that Slovakia's government will reduce its currently high fiscal deficit and stabilize government debt as a share of GDP. We also believe that it will continue to reform the country's labor market and business environment to strengthen the competitiveness of the economy. In our view, these steps would likely promote sustained, strong, and balanced economic growth and, consequently, could help close the wealth gap both within Slovakia and between it and other eurozone countries. This could help strengthen the country's creditworthiness and be positive for the ratings in the medium term.

In a world where markets decide the fate of currency there's not a thing that governments can actually do to keep a currency afloat or stable. They gave that power away already and only by taking markets out of the equation can governments of all persuasions return power unto themselves and to the people. A completely new economic format is required as the one we have all been told is wonderful is clearly NOT the truth. Any speculator or financial adviser will tell you, that risk is inherent and where there is risk then currency and economies are as prone to fall as they are to rise. Nothing short of government intervention on a global level can make this problem go away.