How to make the most of your money: where should you be travelling in 2016

In order to bag a bargain holiday, you can leave it until the last minute to book, use comparison websites for cheap flights and accommodation, or choose an all-inclusive package deal. But have you ever considered how global exchange rates can make a difference too?

If your country’s currency is valued much higher than that of your chosen destination, you will end up with lots more cash to spend. As a result, financial investors don’t have to be the only ones making money off currency trading, as tourists can do exactly the same too.

With this in mind, here is a look at the most cost-effective travel destinations in 2016, where you can well and truly make the most of your money.

Brazil

Due to a widening budget deficit, the worst recession in more than a century and political turmoil, Brazil is close to an all-time low. However, as the world’s poorest performing major currency of 2015, holidaymakers can take advantage of cheap deals to this colourful and captivating South American country.

In many respects, there has never been a better time to visit, as Rio de Janeiro will play host to the Summer Olympic games in August this year.Along with the stunning spectacle this sporting event always delivers, you can be sure that Brazil will inject even more passion into the proceedings.

Canada

According to the Financial Post, Canada’s economy is being threatened by “currency instability,” as in January the loonie fell below 70 cents against the US dollar for the first time since 2003. But yet again, this is good news for tourists interested in sampling a slice of The Great White North.

You’d better be quick if you want to capitalise on Canada’s impressive ski resorts like Whistler, as the snow will start disappearing between late April and early May. However, this would be the perfect time to visit the country’s awe-inspiring natural attractions such as Niagara Falls as well as Banff National Park and the Rocky Mountains.

Sweden

In an attempt to push up inflation, Sweden’s central bank could soon make its first foreign exchange intervention for 15 years. This would result in a weaker crown and more travel money for visitors to spend.

It is difficult to look past the capital city of Stockholm when planning a trip to Sweden. This stylish and sophisticated destination has an abundance of historical and cultural treasures to enjoy, such as the Vasa Museum, Drottningholm Palace, and its old town known as Gamlastan.

Anywhere in the Eurozone

Economic sentiment among the 19 countries sharing the euro deteriorated by far more than expected earlier this year. Therefore, the single currency remains weak compared to the vast majority of other global economies.

But despite sharing the same currency, some countries might be better value for money than others according to the Financial Times. “The biggest drop in confidence was in Spain followed by Germany and Italy while the sentiment index for France, which has had a torrid time of late, actually increased. Sentiment also improved in Holland.”