ECB policy and expats A

T THEIR FIRST meetings of 2023, the Bank of England (BoE) and the European Central Bank (ECB) both raised interest rates by 50bps but delivered very different assessments of their respective economies and the need for further rate hikes. Looking at the months ahead, the central banks’ decisions – in particular the ECB’s – could have a significant impact on the GBP/EUR exchange rate and the Eurozone economy.

What did the central banks say?

The BoE implied that it will raise interest rates by smaller increments in the future, if at all. Its Monetary Policy Statement reads: “If there were to be evidence of more persistent pressures, then further tightening in monetary policy would be required”, marking a shift from December’s wording, that it would ‘respond forcefully’ if needed. Traders subsequently began pricing in a smaller quarter-point hike at the BoE’s next meeting. Meanwhile, the ECB committed to another half-point hike at its next meeting, saying it would “stay the course in raising interest rates significantly at a steady pace”. However, the bank did say it would re-evaluate the path of policy tightening in March.

Amid the ECB and BoE decisions, the GBP/EUR exchange rate slumped to its lowest level since September 2022, when then PM Liz Truss unveiled her ill-fated mini-budget.

How could this impact GBP/EUR over the coming months?

The single currency could hold strong against the pound over the coming months, with the expectation that the ECB will be more hawkish than the BoE supporting the euro. However, economic data will continue to play a decisive role in GBP/EUR.

If Eurozone inflation continues to cool rapidly, and if core inflation eases, markets may begin to price in a dovish tilt from the ECB at its March meeting, which may see the euro lose ground against the pound. Meanwhile, UK inflation has proven stickier than in the Eurozone. If price pressures remain persistently high, bets on another BoE rate rise could help Sterling claw back some losses.

Impact of ECB rates on the Eurozone economy

A key reason why the BoE was less hawkish than the ECB in February, despite higher and more persistent inflation, is that the UK economy is teetering on the brink of a recession. At the same time, the Eurozone economy is faring much better overall. Recent economic data has come in better than expected, inflation is easing, and private sector activity has steadily recovered since October’s trough, having now returned to growth.

There is some fear that, as the ECB continues to tighten the screw on monetary conditions, it could stifle this economic recovery. Higher interest rates mean higher borrowing costs for businesses and households, which can deter investment and squeeze spending. Hopefully, the Eurozone’s economic resilience so far continues to hold up.

Protecting against volatility

With the ECB’s and BoE’s tightening cycles potentially nearing their ends, there could be volatility ahead for the pound euro exchange rate.

If you need to send money overseas – perhaps to transfer pension payments or rental income, or for day-to-day spending – then shifts in the GBP/EUR exchange rate can impact how much money you receive.

Using a specialist currency broker is often the best way to protect against volatility and get a better deal on your currency transfers. Currency specialists tend to offer more competitive exchange rates than banks and provide a wider variety of transfer options.

We recommend considering Currencies Direct. On top of excellent exchange rates and flexible transfers, they pride themselves on giving their customers expert guidance and one-to-one support.

Currencies Direct has helped over 325,000 individuals and businesses move money abroad since 1996. They have an ‘Excellent’ Trustscore on Trustpilot, over 20 global offices and a team of more than 500 currency experts. You can also move your money over the phone, or use their online service and app to check live rates and make 24/7 transfers. What’s more, Currencies Direct are authorised in the EU – this is crucial as any currency provider offering their services to customers in Portugal must be regulated by a relevant EU authority.

For more detailed information, please contact the local office T: 289 395 739 or register at currenciesdirect.com/portugal to get regular updates on the currency markets. (use AlgarvePLUS magazine as the reference).

PEDRO RODRIGEZ

Tavira d’Artes, Tavira 962 012 111 taviradartes@gmail.com taviradartes.com

Marilyn Monroe, oil on linen, 120x100cm.

ves.tres

Galleria Augustine

R. Leite de Vasconcelos, 3A, 1170-200 - Lisboa, 926 536 229, galeria-augustine.com

On now

From the exhibition Running Riot, Painting at Play by the three-artist collective, Ana Malta, Madalena Pequito and Maria de Brito Matia. This piece, E tudo a cal apagou, 2021, mixed media on canvas is 120x120cm.

Vee Speers

In The Pink Loulé 289 462 320 info@in-the-pink.com in-the-pink.com

Throughout March

This superb exhibition of the finest photography continues throughout this month. Untitled #16 – Phoenix Series 2020 is Edition 1/5 and measures 150x120cm. This is Vee Speers’ first solo exhibition in Portugal.

SILVIO PORZIONATO

ArtCatto, Loulé 289 419 447 info@artcatto.com artcatto.com

Moonlightblackseries 02, oil on canvas, 120x180cm.

Pascale Fay

Casa Velha, Quinta do Lago

Also at Aderita Artistic Space Vale do Lobo 912 186 868

Aderita.artisticspace@gmail.com artisticspace.pt/

Until 26 March

Rêve héroïque (heroic dream) acrylic on canvas, 100x73cm.

IF YOU HAVE ANYTHING YOU WOULD LIKE TO SHARE EMAIL susi@rogol-goodkind.com

Artlink Collective

Galeria Espectro

Papelaria Arco Íris

Sudoeste Retail Park, Alcantarilha 282 322 883 artlink.collective@gmail.com artlinkcollective.com

Until 19 March

At Papelaria Arco Íris you will find quality materials for fine arts, decorative arts, office supplies, school supplies, etc. Art workshops are on the agenda, and there is an ongoing exhibition of works, from an ever-changing list of local artists in Galeria Espectro, who are part of the ARTLINK collective, where the focus is on painting, photography, sculpture and digital composition. This one is certainly worth investigating.

Music

Amigos de Música

Os Agostos, Sta. Bárbara de Nexe reservasconcertos@gmail.com, amigosdemusica.org

21 and 23 March, 19:00

London-based Australian pianist Piers Lane, five times soloist at the BBC Proms, pays homage to Sergei Rachmaninov, born 150 years ago this year, and Chopin, in his first concert, on the 21st. On the 23rd, he will play Grieg’s Holberg Suite, Variations by Tchaikovsky, and John Field and Alexander Glazunov.

Wine, fruit juices and canapés will be served; the concert will begin at 19:00, doors open 18:00. There will be a short interval with refreshments served.

Entry donation including refreshments is €30 per person for guests and nonmembers.

For more information about the Amigos de Música and concert programme visit the new website; for membership enquiries contact: helga.hampton@gmail.com

Experiences

República 14, Olhão

Reservas@re-criativarepublica14.pt Email for ticket prices, and to book.

Cheltenham Festival

Tribulum Algarve, Almancil 289 397 784 info@tribulumalgarve.com tribulumalgarve.com

15-17 March

Enjoy the full experience –all races will be screened. There are set lunches for Ladies’ Day on the 15th and The Gold Cup on the 17th, and a special St Patrick’s dinner menu on the evening of the 17th. Book ahead, and enjoy!

Sala Simba

Olhão’s adventurous gallery, and the vision of Kevin and Frances Gould of Cha Cha Cha, will re-open for the 2023 season this month. Call 918 727 242 or email ola@salasimba.pt, for details and to make an appointment, and visit insta @salasimbaolhao

11 February, 19:00 and 21:30

Mashrabya Trio – Music from Al-Andalus, dances from Turkey or Greece, the art of melodic improvisation and Persian love songs are part of the repertoire of this trio of musicians from Seville.

18 February, 17:00 and 21:30

Adam Ben Ezra – During the past decade, this extraordinary Israeli musician has redefined the role of the double bass, transforming it into a solo and almost orchestral instrument.

VALENTIM & AMIGOS

Teatro Lethes, Faro

12 March, 16:00

Book online at bol.pt/ comprar/bilhetes teatrolethes.com

Tickets €10

Artists, singers and musicians join Algarvian Valentim Filipe, in a Sunday afternoon event that promises to fill the stage of this wonderful theatre in the heart of Faro and delight audiences.

IF YOU HAVE ANYTHING YOU WOULD LIKE TO SHARE EMAIL susi@rogol-goodkind.com

INTERNATIONAL WOMEN’S DAY NETWORKING EVENT

Tribulum Algarve, Almancil shebangpr@icloud.com shebangonline.co.uk

8 March, 10:00–15:30

An event designed to help encourage, empower and inspire like-minded women to take action in 2023.

Tribulum Restaurant is providing a drinks reception and a three-course lunch for €40pp. There is also space if you would like to exhibit at the event to promote your business to attendees. Email Shebag for more information and to book.

Loulé Criativo workshops

Visit loulecriativo.pt for dates and details – there’s so much more than we have room to list!

289 400 829 loulecriativo@cm-loule.pt, loulecriato.pt

SMYRNA:

STITCH-LATCH HOOKING FOR BEGINNERS

11 March

Oficina dos Têxteis, Loulé

Contact: Sara Monteiro

To register: hortasara@hotmail.com

Jewellery Workshop

Gama Rama Gallery Faro 961 371 891 gamaramagallery@gmail.com

18 March, 10:00–13:00

€40, materials included

With Ana Gregorio of Joalharia Artesanal whose atelier is in the Gama Rama creative centre, learn to glaze colours on copper, and make patterns and designs on enamelled surfaces.

Open Water Swim

Vale do Lobo praça and beach 289 353 307, experience@vdl.pt

12 March, 10:00–12:00, €25pp (€20 resort members)

Meet at Vale do Lobo beach where the sea swim starts in the outstanding Algarvian blue waters, one of the best swimming spots on the coast. Distances will be adapted according to participants’ level of ability – and energy. The activity will finish back on the Vale do Lobo beach followed by a fresh water bath.

Ceramics Initiation Workshop

4 March

Palácio Gama Lobo, Loulé

Contact: Isabel Carvalho

To register: isc.ceramics@gmail.com

RECREATE HAND PAINTED TILES WITH MOTIVES OF LOULÉ

25 March

Loulé Coreto Hostel, Loulé

Contact: Loulé Coreto Hostel

To register: loulecoreto.reservas@ gmail.com 966 660 943

MACRAMÉ INITIATION WORKSHOP

18 March

Palácio Gama Lobo, Loulé

Contact: Desi Cornelisse

Introduction To Hand Weaving

11 and 12 March, 16-hour course

Oficina dos Têxteis, Loulé

Contact: Susana Mendez

To register: susanamendes. studio@gmail.com

Introduction To Embroidery

5 March

Oficina dos Têxteis, Loulé

Contact: Flávia Ferreira

To register: flaviaferreiradias@gmail.com 967 180 340

Get Shopping

To register: jomohandmade@gmail.com

Quinta Shopping Farmers’ Market, Sunday 5 March, from 10am. If you haven’t already got your copy of this month’s AlgarvePLUS, you’ll find it in Cheeky Pup, The Melting Pot, Dunas, Casa da Bli, By Rory, the newsagents and more, and on The Algarve Candle Company’s stand.