What Are The Top Currencies In The World?
In this article, we will be looking at the top currencies in the world, starting from the least.
New Zealand Dollar
The NZD (New Zealand dollar) takes its rightful place on the strongest currency list.
The strength of this currency has been rising, most likely caused by the nation’s political stability, high-interest rates, and GDP growth.
New Zealand Dollar: Image Source
In exchange for 1 US dollar, you will receive around 1.52 New Zealand dollars.
Even though the NZD is the 16th strongest currency in the world, it beats many of the stronger currencies and lands among the list of the most traded currencies.
Australian Dollar
The Australian dollar (AUD) is the national currency of Australia.
It is also used by its external territories and some Pacific island states.
Although it is not the most expensive currency in the world, it is extremely valuable and one of the most stable currencies on this list.
Australian Dollar: Image Source
1 US dollar will get you around 1.45 Australian dollars, making it one of the most expensive currencies available.
The Australian dollar is also the 5th most traded currency on the forex market and accounts for around 6.8% of daily trades.
The reasons the AU dollar is so popular are the currency’s stability, its high-interest rates, and the view that it holds diversification benefits.
Singapore Dollar
The Singapore dollar (SGD) is the official currency of Singapore.
It is used in both Singapore and Brunei.
Singapore Dollar: Image Source
1 US dollar will buy you around 1.36 Singaporean dollars.
The Singapore dollar is an expensive currency that is the one of most traded currencies on the foreign exchange market, accounting for around 1.8% of daily forex trades.
Brunei Dollar
Brunei dollar or BND has been the currency of the Sultanate of Brunei since 1967.
The Brunei dollar is interchangeable with the Singapore dollar at face value and both currencies are legal tender in each country.
Brunei Dollar: Image Source
1 US dollar will exchange for around 1.35 Brunei dollars, making the BND slightly more expensive than the Singaporean dollar.
Libyan Dinar
The national currency of Libya is known as the Libyan dinar or LYD in its abbreviated form.
Interestingly, a single dinar is subdivided into 1000 dirhams, unlike the sub-measurement of 100 that many other currencies follow.
A single US dollar will buy you around 1.41 Libyan dinars.
Libyan Dinar: Image Source
Although LYD is not the most valuable currency in the world, it is still a very strong currency.
Canadian Dollar
The Canadian dollar or CAD is the currency of Canada and is one of the most popular currencies for central banks to hold as foreign exchange reserves, due to Canada’s legal and political stability.
Canadian Dollar: Image Source
Additionally, CAD is a very popular option when forex trading, and accounts for around 5% of daily trades in the global foreign exchange market.
A single US dollar will purchase around 1.31 Canadian dollars, placing it among the world’s strongest currency list, but its global popularity precedes its value.
United States Dollar
The US dollar is the currency of the United States and several other countries.
It is the world’s primary reserve currency and is held by most central banks and commercial banks globally.
Because of its widespread adoption, the US dollar also accounts for around 88.3% of daily trades in the foreign exchange market.
The US dollar holds many first-place titles, including the richest country in the world, but remarkably only is only one on the list when ranked as a contender for the world’s strongest currency.
United States Dollar: Image Source
All currencies on this list are compared for their currency strength relative to the US dollar.
In spite of the US dollar being the world’s most traded and strongest currency, it is not the most expensive currency.
Therefore, the US dollar appears just like one of the list, as 1 US dollar is worth exactly that – 1.0 US dollar.
Swiss Franc
The Swiss franc or CHF is the national currency of both Switzerland and Liechtenstein.
Swiss Franc: Image Source
1 US dollar will buy your around 0.98 Swiss Francs, so the Swiss franc comes in as the first currency to be of higher value than the US dollar.
This, however, is no surprise given that Switzerland is one of the most stable and wealthy countries in the world.
It also acts as a safe haven currency for investors in periods of economic instability, along with USD and JPY.
The Swiss franc is also the 7th most traded currency in the world, gaining its popularity as a safe bet when trading or storing currency, due to its strict monetary policies and low debt levels.
Euro
One of the newest currencies, the Euro or EUR is the official currency of 19 countries, which makes it the most widely used ‘official currency’ in the world.
Countries where it is used as an official currency include Germany, France and Spain, and it is often known to be the world’s second reserve currency.
It is also known to be the second most traded currency on the foreign exchange market only preceded by the US dollar.
Euro: Image Source
In fact, the EUR/USD or ‘Fiber’ is the most traded forex pair in the world, accounting for almost a quarter of daily forex trades.
In exchange for 1 US dollar, you will receive around 0.90 euros or 90 cents.
Cayman Islands Dollar
One of the most expensive currencies in the world is the Cayman Islands dollar or KYD, which is the national currency of the Cayman Islands.
An autonomous British territory located in the Caribbean, the Cayman Islands are a major financial tax haven for wealthy individuals and corporations.
Cayman Islands Dollar: Image Source
A United States dollar is exchangeable for around 0.83 Cayman Islands dollars- making it the only and strongest Caribbean currency on the list.
Gibraltar Pound
The Gibraltar pound or GIP is the national currency of Gibraltar and is exchangeable with the British pound sterling at face value.
Therefore, in Gibraltar, you are free to use both GIB and GBP.
A single US dollar will buy you around 0.81 Gibraltar pounds, which is very similar in value to the Gibraltar pound.
The Gibraltar pound or GIP is the national currency of Gibraltar and is exchangeable with the British pound sterling at face value.
Gibraltar Pound: Image Source
Pound Sterling
The Great British Pound, the pound sterling or the GBP is one of the most valuable currencies in the world.
Although the GBP is not the strongest currency in the world, it does keep the title of the oldest currency still in use.
The pound sterling is often thought to be the strongest currency in the world and is the strongest currency in the world that is widely used.
Pound Sterling: Image Source
It’s one of the most traded currencies globally, accounting for around 12.8% of daily trades on the foreign exchange market.
When exchanging a single US dollar, you will receive around 0.75 Great British pounds in return.
This currency pair (USD/GBP), is commonly known as “cable” and is also one of the most traded currency pairs in the world.
Jordan Dinar
The national currency of Jordan is the Jordanian dinar or JOD, which is one of the strongest currencies in the world today.
The currency became Jordan’s official currency in 1950 after it replaced the Palestinian pound.
Jordan Dinar: Image Source
1 US dollar is transferrable for around 0.71 Jordanian Dinar, earning the currency a rightful place in the top 5 most valuable currencies.
Omani Rial
The Omani rial or OMR is the national currency of Oman.
Unlike most conventional currencies, the Omani rial is split into 1000 smaller divisions known as baisa.
The Omani rial quickly rose in value after being introduced due to the success of Oman’s oil exports and being pegged against the US dollar.
Omani Rial: Image Source
A single US dollar will exchange for around 0.38 Omani Rial, which is nearly double the currency strength of the Pound sterling.
Bahrain Dinar
The second strongest currency in the world is the Bahrain dinar or BHD.
Like most Arabic currencies on this list, it is divided into 1000 smaller currency units, in this case, called ‘fils’.
The Bahraini dinar is only used in Bahrain and is pegged against the US dollar.
Bahrain Dinar: Image Source
Of similar value to the Omani rial, when trading 1 US dollar you will receive 0.38 Bahraini dinar.
Kuwaiti Dinar
Known as the strongest currency in the world, the Kuwaiti dinar or KWD was introduced in 1960 and was initially equivalent to one pound sterling.
Kuwaiti Dinar: Image Source
Kuwait is a small country that is nestled between Iraq and Saudi Arabia whose wealth has been driven largely by its large global exports of oil.
You will receive just 0.30 Kuwait dinar after exchanging 1 US dollar, making the Kuwaiti dinar the world’s highest-valued currency unit per face value, or simply ‘the world’s strongest currency’.
Conclusion
These currencies are also recognized by the United Nations as legal tender.
They have strong value and have stood strong when compared to the value of other currencies.
Now, this does not mean that other currencies are low in value.
It just shows that these currencies have been compared in value against the US Dollar, and have been found worthy of being in this list.
I hope you enjoyed this article.
