Currencies seem straightforward. You have a 10-dollar bill and a quarter in your pocket, so it’s safe to say you have 10 dollars and 25 cents, right? Sort of. While you definitely have 10 dollars and 25 cents, the value of those numbers in relation to the goods and services you can purchase with them and the equivalent values of other global currencies is constantly shifting. One hundred years ago, that amount was a common day’s wage, while today you would earn more than that in one hour.
The American Dollar is commonly seen as one of the strongest currencies in the world. While it is a strong, consistent currency, it certainly isn’t the strongest, however. Here is a list of five strong currencies now that are more powerful than the USD as of March 2021.
Gibraltar is officially a British Overseas Territory, meaning that while it isn’t an official part of the United Kingdom, it is under the UK’s legal jurisdiction. The Gibraltar Pound is equivalent to the Great British Pound in value, but they are printed and issued by the Government of Gibraltar. The GBP can also be used in the country though. 1 GIP is equivalent to 1.73 CAD or 1.39 USD.
The Jordinian Dinar was first used as the official currency in Jordan in the 1950s. The country pegged the dinar’s value to the USD, which helped bring about stability in their growing financial system. “Pegging a currency” means the national government issuing the currency sets a fixed exchange rate relative to a foreign currency that is stronger and more established. It is not an uncommon move with slightly newer currencies. The move clearly paid off, because 1 JOD is worth 1.76 CAD or 1.41 USD today.
The Sultanate of Oman uses the Oman Rial as their official currency. Oman is a small country located on the southeast coast of the Arabian Peninsula, and it is about the size of the state of New York. The Central Bank of Oman pegs the value of their currency as equivalent to 2.6008 USD. If you were to exchange one OMR for CAD, you would get 1.77 today.
Bahrain’s official currency is the Bahraini Dinar. This country is a small island nation in the Arabian Gulf not far from Saudi Arabia. Like several other currencies on this list, the BHD has a pegged exchange rate with the US dollar. One BHD can be exchanged for 3.32 CAD or 2.65 USD.
Finally, the strongest currency in the world as of the end of March 2021 was the Kuwaiti Dinar. The State of Kuwait is a country in west Asia that is located along the northern edge of east Arabia near the top of the Persian Gulf, sandwiched between Iran and Saudi Arabia. The currency has been pegged to a number of currencies around the globe, but those exact currencies and values have never been disclosed. Today, 1 KWD equals 4.14 CAD or 3.31 USD.
These are the five strongest currencies in the world as of March 2021! You may be surprised that most of these are smaller nations, not widely used currencies like the GBP or the Euro.
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