Top 10 Strongest Currencies in the World
Have you ever thought about the strongest currencies in the world or the reason why oil-exporting nations generally have the highest-valued ones?
This article will look at the top 10 strongest currencies in the world in relation to their exchange rates against dollar U.S. dollars (USD) and provide a description of the elements that determine their worthiness.
What is the currency strength?
The strength of a currency is the buying power of a currency against other currencies.
It is believed that the U.S. dollar was chosen as the standard because of its status as the world’s most powerful vehicle currency. As per the Triennial Central Bank Survey conducted by the Bank for International Settlements (BIS) The U.S. dollar was on the other side of 88 percent of the total currency exchange (forex) transactions that were conducted between 2019 and 2022.
Top 10 Strongest Currencies in the world
Here’s a list of the strongest currencies in the world for 2023.
1. Kuwaiti Dinar (KWD)
The Kuwaiti dinar (KWD) was the most valuable currency compared to the U.S. dollar in 2023. The KWD/USD rate was 3.23 at the time of October 2023.
The Kuwaiti economy is mostly due to crude oil exports. In the report of OEC Kuwait, the nation recorded an export value of $58.2 billion for 2021, compared with an estimated import that was $33.8 billion.
The exchange rate has remained nearly the same level (down 1.3 percent at the date of writing) throughout 2023.
2. Bahrain Dinar (BHD)
The Bahrain dinar (BHD) was the second-highest-valued currency compared to the U.S. dollar in 2023. The BHD/USD exchange rate was 2.65 at the end of October 2023.
As with Kuwait its main export, Bahrain’s primary product was petroleum-based products. Furthermore, it was a Middle Eastern country that also exported iron ore and aluminum. As per the OEC, Bahrain posted an export value of $15 billion in 2021, compared with an estimated import that was $15.5 billion.
The exchange rate between BHD and USD remained the same in 2023.
Originally Published on The Tech Trend
