Jakarta, CNBC Indonesia– The majority of people know about the world’s most powerful and stable currencies. However, what about the world’s lowest currency? Is rupiah included in the list?
Each country has a different currency exchange rate against the United States (US) dollar. Demand and supply of currency exchange rates become one of the factors that strengthen the exchange rate.
From within the country, the exchange rate of the rupiah against the greenback experienced a decline in the last 5 weeks. However, on Wednesday (25/5), Garuda Currency was finally able to record consecutive strengthening against the US dollar. Does this make the rupiah the lowest exchange rate in the world?
The following is a list of countries with the lowest currency values in the world.
1. Rial Iran (IRR)
The cheapest currency in the world is the Iranian Rial. The devaluation of its currency has started since 1979, in which many businesses left the country due to the uncertain situation due to the war between Iran and Iraq which resulted in the country being given economic sanctions due to its nuclear program. It damaged the economy and devalued the currency by almost 400%.
2. Dong Vietnam (VND)
As of today, one US dollar is equivalent to 23,205 VND. Vietnam is still on a difficult economic path, as a result of which the country’s currency is very devalued and the Vietnamese currency is the second lowest currency in the world.
3. Franc Guinea (GNF)
At the current US dollar exchange rate, the value of 1 US dollar is priced at 8,586 GNF. High inflation rates, rising poverty rates, contributed to the devaluation of the Guinean currency. Although, the African country has a wealth of minerals, gold, diamonds, and aluminum.
4. Indonesian Rupiah (IDR)
Today, the domestic market is closed to commemorate the Ascension of Jesus Christ. However, the rupiah in yesterday’s trading strengthened after five weeks of correction against the US dollar. One US dollar is priced at Rp. 14,630/US$.
Economic growth, which was considered quite stable, did not affect the rupiah exchange rate against the greenback. In fact, the rupiah is still one of the lowest currencies.
5. Belarusian Ruble (BYR)
Its exchange rate against the US dollar is equivalent to 9,898 Belarusian rubles. Its exchange rate against the US dollar makes it one of the lowest currencies in the world.
Som Uzbekistan (UZS)
Uzbekistan is one of the weakest economies and as a result its currency is on the list of the lowest currencies in the world. The government of Uzbekistan has used many ways to boost the economy, but nothing has worked. The value of the Uzbek som compared to the US dollar is 10,788.34 for 1 US dollar.
7. Bolivar Venezuela (VES)
Venezuela has experienced inflation several times, currently inflation has touched 222.3% and is the country with the highest inflation rate in the world. For 1 US dollar is approximately equivalent to 440,450 bolivars.
8. Leone Sierra Leone (SLL)
Sierra Leone is a very poor African country and caused its currency to be devalued. The war and the outbreak of the Ebola virus became an obstacle to advancing its economy. The Sierra Leone Leone exchange rate is 10,122 SLL to 1 US dollar.
9. Chicken Laos (LAK)
Laos is the only currency on this list that has not devalued its exchange rate. Since the release of the Lao kip in 1952, it has steadily increased. As of today, 1 US dollar is equivalent to 13,245 Lao kip (LAK).
10.Reel Kamboja (KHR)
In the final position, the Cambodian Riel is occupied, where 1 US dollar is equivalent to 4,053 KHR. In fact, the Cambodian riel is not popular among its own people, in fact its citizens prefer to pay using the US dollar or other stronger world currency.
CNBC INDONESIA RESEARCH TEAM
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