The Dollar's Supremacy Over the Peruvian Sol

Peru's had its problems of late -- including a crushed economy, the deadly virus Situation, corrupt politicians at the highest level.

One attraction for Expats relocating to South America is the strength of the U.S. Dollar (USD) versus the Peruvian Sol (PEN). 

Viewing the five-year chart at the exchange-rates site www.xe.com, we see that U.S. currency bottomed out at 3.21 Soles to the Dollar in January 2019 .. and has been on a near-steady rise ever since .. rising to almost 4 Soles to the USD as of today.

This means that compared with early 2019, an Expat can expect to get about 25 percent more for his/her U.S. Dollar now.

Is that enough to make the difference in where an Expat relocates in South America?

You make the call.

cccmedia

One month later .. the weak Sol has only gotten weaker versus the U.S. Dollar.

The current exchange rate is 4.1 Soles to the Dollar.

Source... xe.com USD-PEN charts

Exchange rate in early October.

Dollarized Expats continue to reap benefits from an exchange rate that favors U.S. Dollars over Soles.

The current exchange rate is 4.14 Soles to the Dollar.  That's almost an extra Sol per dollar since late July, two-and-a-half months ago.

Source... xe.com USD-PEN charting

I'm booking my flight this week to come at the end of the month and I have to figure out whether to deal direct on an apartment or go through realtors again.  Maybe you can give me some guidance.  I'm retired and going to be renting.  The prices are sure right.

For my next trip to Miraflores/Lima, I expect to book an apartment via Airbnb.com ...

The pandemia pricing at the site is customer-favorable, especially when you figure in a monthly discount, which seems to kick in for stays of 28 days or longer at many listings.

There are safeguards in the AirBnB system, such as designating super-hosts and including listing-reviews, that you may not get with a Spanish-language realtor.

cccmedia

Sol remains weak versus Dollar.

The U.S. Dollar remains above the four-Soles level as of today, December 13, 2021.

For about four years 2016-19, the Dollar was valued at about 3.3 Soles with minor fluctuations.

In recent months, the exchange has stabilized with the Dollar worth slightly more than four Soles.

Source... xe.com USD-PEN charting

New topic