9 The Lowest Currency In The World, It Turns Out That Indonesia Is Also Entering

The lowest currency in the world (Freepic)

YOGYAKARTA - Every country in the world has its own currency that plays an important role in the national economy. In addition, the value of each currency can also be different. It is interesting to know what is the lowest currency in the world.

The currency exchange rate against other currencies reflects the country's economic strength, political stability, and financial market conditions. Several currencies from developing countries have a much lower value than strong currencies such as the US Dollar (USD) or Euro (EUR).

It turns out that Indonesia's currency or the rupiah is in the 9 lowest ranks in the world. Let's identify what is the lowest currency in the world and what is the cause.

There are many factors that can lead to currency depreciation, including central bank intervention, increasing imports, decreasing export revenues, changing inflation rates, and political instability.

Here are some currencies that are currently considered to have the lowest exchange rate against the US Dollar:

The Lebanese pound (LBP) is the lowest exchange rate currency in the world that has continued to occupy the top position or is approaching the position in recent years.

This condition is largely due to soaring inflation, heavy pressure on the economy, and political instability. In addition, the country is also facing a banking crisis that has been going on since 2019.

Iran's Rial (IRR) has faced major challenges since the failure of the nuclear deal between the US and Iran in 2015. The turmoil was also accompanied by the application of severe sanctions that have also affected the economic conditions in this country.

The value of therial had fallen sharply, stably over the past few years. However, the value of this currency has been under pressure again by rising tensions in the Middle East region.

Dong Vietnam (VND) occupies the third position as one of the lowest exchange rates in the world. This condition is largely influenced by restrictions on international exports which have also decreased in volume.

In recent years, the Central Bank of Vietnam has almost evaluated it. This step was taken to encourage an increase in exports from Vietnam to other countries.

Kip Laos (LAK) is included in the series of currencies with the lowest exchange rates in the world. The low value of this currency is caused by several factors, ranging from high inflation rates, slow economic growth, and increasing foreign debt burdens.

Leone Sierra Leone (SLL) has similarities with the Laos kip over its low value due to a variety of factors. The factors affecting the low SLL currency include high debt and inflation, slow economic growth, and long-term effects of major health crises such as Ebola outbreaks.

Indonesia's currency, Rupiah, is also included in the lowest currency. Rupiah recorded a fairly sharp depreciation year to date (ytd) of 3.09%. This decline occurred in line with the slowdown in Indonesia's economic growth, especially in the second and third quarters of 2024.

In addition, various issues such as employment issues, including the high number of layoffs (PHK), have also had a negative impact on the economy. This factor also makes investors worry about investing in the Indonesian financial market.

Som Uzbekistan (UZS) has faced significant challenges in recent years. This difficulty is likely influenced by a number of factors, including the high unemployment rate, rising inflation, slow economic growth, and the issue of corruption which is still a problem.

Franc Guinea (GNF) began to experience a decline in value since the conflict that occurred in the 1990s. This currency remains in the world's weakest ranks of currencies due to various factors, such as military unrest and high inflation. However, the GNF has recently shown indications of recovery.

Paraguay, guarani (PYG), is facing difficulties due to the protracted problems of inflation and unemployment. Due to this difficult economic condition, PYG is one of the lowest currencies in the world. In addition, PYG is also affected by the problem of corruption and the circulation of counterfeit money.

Those are some of the lowest currencies in the world that are important to know as international economic knowledge. The value of a country's currency reflects the economic health and political stability. Also read the 8 highest currencies in the world.

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