KNOWLEDGE HUB
Strongest & Weakest Currencies
Determining the strength of a currency can be complex and can depend on various factors such as economic stability, inflation rate, interest rates, and geopolitical factors. However, based on factors like stability, GDP, and international usage, as of recent times, the following currencies are often considered among the world's strongest:
Kuwaiti Dinar (KWD) - 1 KWD ≈ 3.30 USD
The Kuwaiti Dinar is often cited as the strongest currency in the world due to the country's significant oil reserves & stable economy.
Bahraini Dinar (BHD) - 1 BHD ≈ 2.65 USD
The Bahraini Dinar is another currency backed by oil wealth and is pegged to the U.S. Dollar, contributing to its strength.
Omani Rial (OMR) - 1 OMR ≈ 2.60 USD
Like Kuwait and Bahrain, Oman's economy is heavily reliant on oil exports, contributing to the strength of its currency, the Omani Rial.
Jordanian Dinar (JOD) - 1 JOD ≈ 1.41 USD
The Jordanian Dinar benefits from stability in the region and is pegged to the IMF's Special Drawing Rights, contributing to its strength.
British Pound Sterling (GBP) - 1 GBP ≈ 1.32 USD
Despite fluctuations due to Brexit and other economic factors, the British Pound Sterling is still considered one of the strongest currencies due to the UK's economic stability and historical significance in global finance.
Gibraltar Pound (GIP) - 1 GIP ≈ 1.32 USD
British Overseas Territory Gibraltar's official currency is the Gibraltar pound (GIP) and is pegged to the pound sterling (GBP). The pound sterling is accepted everywhere; euros are only accepted in some places. UK debit cards are popular, as well as major global credit cards. Digital wallets are also common.
Cayman Islands Dollar (KYD) - 1 KYD ≈ 1.20 USD
The Cayman Islands Dollar is pegged to the U.S. Dollar and is backed by a stable and prosperous financial sector.
Euro (EUR) - 1 EUR ≈ 1.15 USD
The Euro, used by 19 of the 27 European Union countries, is one of the world's strongest currencies due to the economic power of the Eurozone and its widespread international usage.
United States Dollar (USD) - 1 USD ≈ 1.00 USD
As the world's primary reserve currency and the currency of the world's largest economy, the United States Dollar remains one of the strongest currencies globally.
Swiss Franc (CHF) - 1 CHF ≈ 1.00 USD
The Swiss Franc is known for its stability and is often seen as a safe haven currency, particularly during times of economic uncertainty.
On the contrary, below are a list of the 10 weakest currencies in the World:
Iranian Rial (IRR) - 1 USD ≈ 42,000 IRR
The Iranian Rial faces significant devaluation due to economic sanctions and political instability in Iran.
Vietnamese Dong (VND) - 1 USD ≈ 25,000 VND
The Vietnamese Dong experiences weakness due to high inflation rates and economic challenges in Vietnam.
Laotian Kip (LAK) - 1 USD ≈ 21,000 LAK
The Laotian Kip is weakened by economic underdevelopment and reliance on agriculture in Laos.
Indonesian Rupiah (IDR) - 1 USD ≈ 16,000 IDR
The Indonesian Rupiah struggles due to economic volatility, high inflation, and external pressures on Indonesia's economy.
Uzbekistani Som (UZS) - 1 USD ≈ 13,000 UZS
The Uzbekistani Som experiences weakness due to economic uncertainties and structural issues in Uzbekistan's economy.
Guinean Franc (GNF) - 1 USD ≈ 8,600 GNF
The Guinean Franc is weak due to economic challenges and political instability in Guinea.
Paraguayan Guarani (PYG) - 1 USD ≈ 7,300 PYG
The Paraguayan Guarani faces depreciation due to economic vulnerabilities and inflationary pressures in Paraguay.
Malagasy Ariary (MGA) - 1 USD ≈ 4,300 MGA
The Malagasy Ariary experiences weakness due to political instability, natural disasters, and economic challenges in Madagascar.
Cambodian Riel (KHR) - 1 USD ≈ 4,000 KHR
The Cambodian Riel suffers from instability and inflation in Cambodia's economy.
Ugandan Shilling (UGX) - 1 USD ≈ 3,800 UGX
The Ugandan Shilling struggles with inflation and economic vulnerabilities in Uganda's economy.
Please note that exchange rates fluctuate regularly due to market conditions, and the strength of a currency can depend on various economic factors. Additionally, this list may vary slightly depending on the specific criteria used for evaluation.