While the US dollar is widely acknowledged as the most influential currency globally and holds a dominant position in international trade, it might be surprising to learn that among the over 180 recognized traditional ‘fiat’ currencies considered legal tender worldwide, the ‘greenback’ does not rank as the strongest.
Forbes analyzed the strongest currencies, utilizing the measure of how many units of foreign currency can be obtained in exchange for one US dollar. The exchange rates utilized in this assessment were derived from their currency converter, which relies on data sourced from Open Exchange.
Here are the top 10 strongest currencies in the world in 2024 as of January 2
Kuwaiti Dinar (KWD)
The Kuwaiti Dinar stands tall as the strongest currency in the world, with an exchange rate of 1 Kuwaiti Dinar buying 3.25 US dollars. This valuation demonstrates Kuwait’s robust economic fundamentals, driven by its substantial oil reserves and prudent fiscal policies.
Bahraini Dinar (BHD)
The Bahraini Dinar secures the second spot, with an exchange rate of 1 Bahraini Dinar buying 2.65 US dollars. Bahrain’s economic strength is rooted in its diversified economy, with a focus on finance, oil, and tourism. The country’s strategic location in the Gulf region also contributes to its currency’s resilience.
Omani Rial (OMR)
Claiming the third position is the Omani Rial, valued at 1 Omani Rial buying 2.60 US dollars. Oman’s currency strength is bolstered by its stable macroeconomic environment, prudent fiscal policies, and a thriving oil and gas sector.
Jordanian Dinar (JOD)
The Jordanian Dinar secures the fourth position with an exchange rate of 1 Jordanian Dinar buying 1.41 US dollars. Jordan’s currency strength reflects its efforts to maintain a stable economy despite regional challenges. Sound economic policies and international support contribute to the resilience of the Jordanian Dinar.
British Pound (GBP) and Gibraltar Pound (GIP)
Sharing the fifth position are the British Pound and the Gibraltar Pound, both with an exchange rate of 1 Pound buying 1.27 US dollars. The United Kingdom’s strong and diverse economy, coupled with Gibraltar’s strategic financial services sector, cements its position among the world’s strongest currencies.
Cayman Islands Dollar (KYD)
The Cayman Islands Dollar claims the seventh spot, with 1 Cayman Islands Dollar buying 1.20 US dollars. As a financial hub, the Cayman Islands’ currency strength is influenced by its status as an international banking and investment destination.
Swiss Franc (CHF)
The Swiss Franc secures the eighth position, with an exchange rate of 1 Swiss Franc buying 1.18 US dollars. Switzerland’s robust economy, low inflation, and reputation for financial stability contribute to the strength of the Swiss Franc.
Euro (EUR)
The Euro takes the ninth spot, with 1 Euro buying 1.10 US dollars. Despite challenges within the Eurozone, the Euro remains a formidable currency, supported by the economic might of its member countries.
US Dollar (USD)
Surprisingly, the US Dollar ranks as the 10th strongest currency, maintaining parity with itself. While the US Dollar is a global reserve currency, its position in the top 10 highlights the strength of other currencies in the world.
