B33/1990 FOREIGN EXCHANGE PERIODS FOR THE CALCULATION OF FOREIGN CURRENCY CONVERSION AMOUNTS - (BRI EXCHANGE RATE)

DATE OF ISSUE: 24 AUGUST 1990

FOREIGN EXCHANGE PERIODS FOR THE CALCULATION OF FOREIGN CURRENCY CONVERSION AMOUNTS - (BRI EXCHANGE RATE)

This Departmental Instruction is to correct technical errors contained in the instruction B14/90 issued on 10/04/90.  B14/90 relates to the exchange rate to be used for the calculation of British Retirement Income in Service Pension assessments.

2.The instruction B14/90 contained a table indicating the payday on which a variation to the BRI exchange rate would take place.  The table also shows the month for which the "on demand airmail buying rate" will be averaged to determine that exchange rate.

3.The dates in that table are wrong and must be replaced with the dates contained in the attachments to this instruction.

4.The effect of these errors is that an incorrect exchange rate has been applied from an incorrect payday.  Both errors have been to the advantage of those clients affected.  The average total incorrect payment was about $4.50 and no action will be taken to adjust pensions in respect of these payments.  The period that the incorrect rate was in force was from April to June 1990.  The correct exchange rate has been in force since 12 July 1990.

5.Column A and B on the attachment are the start and end date of a "Foreign Exchange Period" referred to in the definition in Section 35 of the VEA.  Column C is the payday from which payments using the new exchange rate will commence.  Column D is the month of the year referred to in Section 35AC for the calculation of a Base Foreign Exchange Rate, ie the exchange rate to be applied from the payday in Column C.

6.The second attachment is the same information in calendar format.

7.These exercises will continue to be programmed by Central Office with a Departmental Instruction being issued each time.  The Instruction will detail the exchange rate and the date of effect.

Should you require further information the contact officer is Ric Moore (06) 289 6398.

Peter Hawker

National Program Director

Benefits Program

16 August 1990