Currency exchange 'boosting exports'

The currency exchange rate of sterling is helping to boost export businesses in the UK, it has been suggested.

A report from the Confederation of British Industry (CBI) revealed that the UK's small and medium-sized manufacturers have witnessed overall improvements in business.

During the three months to April, 36 per cent of firms reported a rise in the volume of total orders; an increase partly caused by the relative weakness of Sterling, the CBI said.

However, Chris Gorman, media and PR assistant for the Forum of Private Businesses, has hinted that the currency exchange rate is only one part of the picture.

Mr Gorman said: "The weak pound certainly helps, but we also think the growth in exports is down to the recession forcing businesses to look for new markets."

Earlier today (May 6th) sterling was down against the dollar by 0.38 per cent as concerns of the result of the general election preyed on investors.

Click here to see how much you can save with HiFX's Foreign Exchange services

Posted by Eleanor Ward