The World’s Strongest Currencies
How did Warren Buffet, a guy from Omaha, Nebraska who was not born rich, become worth $125 billion?
Answer:
He’s a smart investor. Really, really smart. But he’s also notoriously frugal. He’s a man who likes to get his money’s worth, no matter what it is. You can interpret that as squeezing every penny out of any transaction and it has, quite obviously, paid off. Literally.
Whether you’re traveling or investing abroad, be Warren Buffet, because a little extra buying power is always a good thing. With that in mind, here’s a list of some of the world’s strongest currencies.
When measuring the value of one currency against another, you are simultaneously buying one currency and selling another. This is known as “currency trading.” All currencies on this list are compared for their currency strength relative to the US dollar, the currency of the United States and the most traded and used currency in the world.
16. New Zealand Dollar (NZD)
The strength of this currency has been rising, probably due to the nation’s political stability, high interest rates and GDP growth. It is also one of the world’s most traded currencies.
In exchange for 1 US dollar, you will receive around 1.52 New Zealand dollars.
15. Australian Dollar (AUD)
The Australian dollar is used by Australia, its external territories and some pacific island states. It’s one of the most stable currencies on this list, and one of the most traded, due to its stability, high-interest rates and diversification benefits.
1 US dollar will get you around 1.45 Australian dollar.
14. Singapore Dollar (SGD)
The Singapore dollar is used in both Singapore and Brunei, and is the 13th most traded currency on the foreign exchange market.
1 US dollar will buy you around 1.36 Singaporean dollars.
13. Brunei Dollar (BND)
Brunei dollar has been the currency for 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.
1 US dollar will exchange for around 1.35 Brunei dollar.
12. Libyan Dinar (LYD)
The national currency of Libya is known as Libyan Dinar.
A single US dollar will buy you around 1.41 Libyan Dinar.
11. Canadian Dollar (CAD)
The Canadian dollar is one of the most popular currencies for central banks to hold as foreign exchange reserves, due to Canada’s legal and political stability.
A single US dollar will purchase around 1.31 Canadian dollars.
10. United States Dollar (USD)
The US dollar 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.
9. Swiss Franc (CHF)
The Swiss Franc is the official currency of both Switzerland and Liechtenstein. Switzerland is one of the wealthiest countries in the world and, with some of the worlds strictest monetary policies and lowest debt levels, has made the Swiss franc “safe bet” for many investors.
1 US dollar will buy you around 0.98 Swiss Franc.
8. Euro (EUR)
The EURO is the primary currency of the European Union and was adopted on January 1, 1999. It was meant to increase the economic interdependency of trade between all EU members. It holds the title as the second world reserve currency and is the official currency of 19 of the 28 member countries in the EU.
The currency first began virtually, in the form of traveler’s cheques and electronic bank transfers, with physical notes and coins appearing in 2002.
In exchange for 1 US dollar, you will receive around 0.90 Euro, or 90 cents.
7. Cayman Islands Dollar (KYD)
The Cayman Islands are a British Territory located in the Caribbean and are well known for being one of the world’s best tax havens. They provide banking licenses for a number of the world’s biggest banks, hedge funds and insurance companies.
A United States dollar is exchangeable for around 0.83 Cayman Islands dollar- making it the only Caribbean currency on the list.
6. Gibraltar Pound (GIP)
The Gibraltar pound 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 pound sterling.
5. Pound Sterling (GBP)
The pound sterling is the oldest independent currency in the world, being first used in the United Kingdom in 1489. It’s also the strongest currency in the world that is widely used, the 4th most traded currency globally, accounting for around 12.8% of daily trades on the foreign exchange market. However, with the United Kingdom deciding to leave the EU, this has had a negative effect on the Pounds value.
1 GBP can be exchanged for 1.26 USD.
4. Jordanian Dinar (JOD)
The Jordanian Dinar is the official currency of Jordan, an Arabic nation on the bank of the river Jordan.
Introduced in 1949, replacing the Palestinian pound, the Jordanian Dinar has been pegged by the United States Dollar for the past 20 years. This has helped it to become one of the strongest currencies in the world. Despite its status, the Jordanian Dinar is used only in Jordon.
1 US dollar is transferrable for around 0.71 Jordanian Dinar.
3. Omani Rial (OMR)
This Arabian currency was first introduced in 1973 and has seen a significant rise in value due to the success of the country’s oil supply and being pegged to the U.S Dollar.
A single US dollar will exchange for around 0.38 Omani Rial, nearly double the currency strength of the Pound sterling.
2. Bahraini Dinar (BDH)
Bahrain is a Persian Gulf Island State, populated by just over 1 million people. The majority of the country’s wealth comes from exporting its petroleum products. Similar to the Jordanian Dinar, the Bahraini Dinar is only used in Bahrain and is pegged by the U.S. dollar.
Of similar value to the Omani Rial, when trading 1 US dollar you will receive 0.38 Bahraini Dinar.
1. Kuwaiti Dinar (KWD)
Located on the tip of the Persian Gulf, between Iraq and Saudi Arabia, Kuwait’s wealth can be attributed to its heavy exports of oil to a global market. The Kuwaiti Dinar was introduced in 1960 and was initially equivalent to one pound sterling.
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.