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The main reason is the lack of repeater stations we have, if we had more the reception would be better. Poor receptions can also be caused by interference from overhead power lines, tramlines and the like that you get in the city and inner suburbs. It can be usually improved by fitting an aftermarket amplified antenna, but the VE already has an amplified antenna and is one that isn't often affected. You could fit a better quality amplified antenna, but that would entail fitting another radio and it's starting to get expensive. You could also look at getting a digital radio module and connecting that to your radio through the auxiliary connection, which would improve your AM reception and give you digital radio at the same time.
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