List of circulating currencies Wikipedia

When the value of a currency fluctuates, it can lead to either an increase or decrease in the cost of foreign goods for domestic consumers or businesses. The extent of this pass-through depends on market competition, supply chain costs, and the pricing strategies of the companies involved. Australia is a major exporter of commodities such as iron ore, coal, and natural gas, so the AUD is highly sensitive to shifts in commodity prices, inflation, and global demand.

The leone replaced the British pound, although it initially remained pegged to it. Throughout the years, the leone started to lose value and experienced significant fluctuations. When traveling abroad, to maximize the value of your money, always use the local currency instead of alternate payment methods. In the vast and complex world of global finance, currencies play a crucial role in shaping economies. While high-valued currencies often grab headlines, those on the lower end of the spectrum are equally significant, reflecting various economic challenges and conditions. Here’s an insightful look into the ten lowest-valued currencies compared to the Indian Rupee as of April 2024.

** Updated in real time.

This requires that the national economy be in a normal and orderly state, that is, there is no serious inflation and economic overheating. In addition, the government should use macro policies to make mature adjustments to deal with the impact of currency exchange on the economy. 1 US dollar will get you around 1.45 Australian dollar, 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 is the currencies stability, its high-interest weakest currency in the world to inr rates and the view that it holds diversification benefits.

1. The currency became more stable following a series of market reforms but has been in a steady downtrend amidst ongoing economic challenges.
2. Vietnam’s economy started to stabilise in the 2000s, and so has the value of the dong.
3. Historically, pseudo-currencies have also included company scrip, a form of wages that could only be exchanged in company stores owned by the employers.
4. The country still depends heavily on the export of commodities, which makes the currency vulnerable to the price of these commodities.
5. Even though the NZD is the 16th strongest currency in the world, it beats many of the stronger currencies and lands a top 10 place in the most traded currencies​.

Exchange Rate Pass-Through

While some countries let their currency float freely on the market, others try to limit devaluation by enforcing a fixed exchange rate. However, as we will see in some of the examples below, this can also lead to the creation of a black market where the local currency is significantly cheaper than the official rate. ERPT is the degree to which changes in an exchange rate affect the prices of goods, both for imports and exports.

Top 10 Lowest Valued World Currencies in 2025

1. This dependency leaves its currency vulnerable to fluctuations in the commodity markets.
2. The Islamic Revolution of 1979 caused a rapid decline in the value of the Iranian rial due to the huge amount of capital flight from the country.
3. Inflation is closely related to interest rates, which can influence exchange rates.
4. Black markets typically emerge when the trust in the local currency and the exchange rate set by the government is diminished.
5. Old banknotes will be replaced with new ones called the New Leone with the rate of 1 New Leone to 1,000 old SLL.

Many Cambodians prefer to use the US dollar for payments now, which causes the local currency to devalue even more. Due to the low value of old-style banknotes, by presidential decree of September 5, 2016, 7 new banknotes were issued in denominations from 1 thousand to 100 thousand rupiahs. Sierra Leone is a very poor African country, which handled out many serious tests that caused the local money to devalue.

You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. Of similar value to the Omani rial, when trading 1 US dollar you will receive 0.38 Bahraini dinar. The Swiss franc or CHF is the national currency of both Switzerland and Liechtenstein. Although LYD is not the most valuable currency in the world, it is still a very strong currency. Vietnam has historically operated under a centralised economy, and while efforts have been made to establish a market economy, there is still a long way to go.

Due to the political unrest in Iran, the Iran-Iraq war, and the nuclear program the Iranian Rial is the cheapest currency in the world. Learn more about trading our exclusive currency baskets, also referred to as forex indices​, such as our USD Index, GBP Index and EUR Index. A single US dollar will buy you around 0.81 Gibraltar pounds, which is very similar in value to the pound sterling. This article represents the opinion of the Companies operating under the FXOpen brand only.

Do High or Low Inflation Rates Affect Currency Exchange Rates?

The JPY is considered one of the world’s most stable currencies but a relatively cheap one. The Japanese yen has been under pressure due to the country’s ageing population and slow economic growth. This began in 1979 following the Islamic Revolution, a time when numerous businesses abandoned Iran due to political instability.

Tips for Getting the Most Out of Your Travel Budget

Conversely, slow growth or a recession can weaken a currency, potentially leading to deflation. The Turkish lira is one of the worst-performing currencies in the region due to high inflation rates and a large current account deficit. Frequent changes in economic policy undermine investor confidence, leading to a sharp depreciation of the lira. Turkey’s borrowing has resulted in a significant amount of foreign-currency debt, which makes the country vulnerable to fluctuations in global economic conditions. The Chinese yuan has risen as a global currency since the beginning of the 21st century. China, as the world’s manufacturing hub, relies on exports for its economic growth.

While many are familiar with the strongest and most influential world currencies, the least-valued or cheapest ones often remain obscure. The names and issuing countries of these currencies can be elusive knowledge for most of us. The Lao is the only currency on this list, which did not devalue but was originally issued with a very low rate. Besides, since its issue in 1952, the currency did strengthen against the US Dollar and continues to improve its value.