What are the strongest currencies in the world? We looked at a whole range of currencies and compared their exchange rate with the US dollar (USD) to see which were the strongest. (At time of writing in October 2022).
1 Kuwaiti dinar buys you 3.22 US dollar.
At the top spot is the Kuwaiti dinar. Kuwait is the 5th richest country in the world per capita thanks to its oil revenues. Its wealth, along with its political stability, keeps its currency at the strongest position globally.
#2: Bahraini dinar (BHD)
1 Bahraini dinar buys you 2.65 US dollar.
The Bahraini dinar replaced the Gulf rupee in 1965. Since then, Bahrain has invested heavily in tourism and its banking sector. It has a strong finance industry and a stable government.
#3: Omani rial (OMR)
1 Omani rial buys you 2.60 US dollar.
The Omani rial is pegged to the USD dollar at 2.60 USD. From 1973 to 1986 it was pegged at 2.895 USD, but in 1986 it was devalued to its current exchange rate.
#4: Jordanian dinar (JOD)
1 Jordanian dinar buys you 1.41 US dollar.
Before Jordan gained independence from Britain in 1946, its currency was the Palestine pound. Then, in 1950, it started using the dinar as its official currency.
#5: Cayman Islands Dollar (KYD)
1 Cayman Islands dollar buys you 1.20 US dollar.
The Cayman Islands dollar replaced the Jamaican dollar on the Cayman Islands in 1972. It is pegged to the US dollar at 1.20. The Cayman Islands has a very strong financial industry.
#6: Pound sterling (GBP)
1 Pound sterling buys you 1.12 US dollar.
The British pound (also known as sterling) is the oldest currency in the world that is still in use. It is the fourth most-traded currency in the foreign exchange market.
#7: Swiss franc (CHF)
1 Swiss franc buys you 1 US dollar.
Switzerland is well-known for its political and financial stability and low bank interest rates. This has long made it an attractive country for foreign investment, contributing to its currency’s high value.
#8: US dollar (USD)
The US dollar displaced the British pound as the world’s primary reserve currency towards the end of WW2, formalised by the Bretton Woods Agreement. The US dollar is the most traded currency in the foreign exchange market and the most widely used currency in international transactions.
#9: Euro (EUR)
1 Euro buys you 0.98 US dollar.
The European Economic and Monetary Union (EMU), also known more casually as the eurozone, consists of the 19 EU countries that have adopted the Euro as their currency. It is the second most-traded currency in the foreign exchange market.
#10: Canadian dollar (CAD)
1 Canadian dollar buys you 0.73 US dollar.
Coming in as the second currency on our list worth less than a US dollar, the Canadian dollar is nonetheless the fifth-most held reserve currency in the world. It remains popular with central banks because of the country’s political and economic stability.
These are the 10 strongest currencies in the world at time of writing in October 2022, but what are the 10 weakest currencies in the world?