Africa is a continent of rich diversity, and its currencies reflect the economic strengths of its nations. From oil-rich countries to those with thriving tourism industries, these currencies have established themselves as some of the strongest in the region.
In this article, we’ll draw insights from Trade economics, explore the top 10 strongest currencies in Africa, along with their exchange rates against the US Dollar (USD), and delve into the economic factors that contribute to their stability.
Rank Currency Exchange Rate (1 USD)
1 Libyan Dinar (LYD) 1 USD = 4.78030 LYD
2 Tunisian Dinar (TND) 1 USD = 3.05460 TND
3 Moroccan Dirham (MAD) 1 USD = 8.80050 MAD
4 Ghanaian Cedi (GHS) 1 USD = 11.05300 GHS
5 Seychellois Rupee (SCR) 1 USD = 13.1872 SCR
6 Botswana Pula (BWP) 1 USD = 13.5049 BWP
7 Eritrean Nakfa (ERN) 1 USD = 15.0000 ERN
8 South African Rand (ZAR) 1 USD = 18.9955 ZAR
9 Egyptian Pound (EGP) 1 USD = 30.9029 EGP
10 Cape Verdean Escudo (CVE) 1 USD = 100.4300 CVE
1. Libyan Dinar (LYD)
Exchange Rate: 1 USD = 4.78030 LYD
The Libyan Dinar claims the top spot with its impressive exchange rate. Libya’s substantial oil reserves play a pivotal role in maintaining the Dinar’s strength. Despite regional challenges, the nation’s oil exports contribute significantly to its GDP.
2. Tunisian Dinar (TND)
Exchange Rate: 1 USD = 3.05460 TND
Tunisia, known for its diverse economy, including agriculture and manufacturing, secures the second position. The Tunisian Dinar’s strength is underpinned by these robust economic sectors, contributing to its stability.
3. Moroccan Dirham (MAD)
Exchange Rate: 1 USD = 8.80050 MAD
The Moroccan Dirham comes in third, reflecting Morocco’s stable economic sectors. With a strong focus on agriculture and tourism, Morocco’s economy has become a key contributor to the Dirham’s resilience.
4. Ghanaian Cedi (GHS)
Exchange Rate: 1 USD = 11.05300 GHS
Ghana’s vibrant economy, driven by cocoa production and gold mining, secures the fourth position for the Ghanaian Cedi. These industries contribute significantly to the nation’s GDP and the Cedi’s strength.
5. Seychellois Rupee (SCR)
Exchange Rate: 1 USD = 13.1872 SCR
The Seychelles, renowned for its tourism and fishing industries, ranks fifth on our list. The Seychellois Rupee benefits from the nation’s robust tourism sector and its marine resources.
6. Botswana Pula (BWP)
Exchange Rate: 1 USD = 13.5049 BWP
At the sixth position is the Botswana Pula, a currency that owes its strength to the nation’s diamond mining industry. Additionally, Botswana’s stable governance contributes to the Pula’s stability.
7. Eritrean Nakfa (ERN)
Exchange Rate: 1 USD = 15.0000 ERN
Eritrea’s agrarian economy plays a role in the strength of the Eritrean Nakfa, ranking seventh on our list. While the nation faces economic challenges, its focus on agriculture contributes to the Nakfa’s stability.
8. South African Rand (ZAR)
Exchange Rate: 1 USD = 18.9955 ZAR
The South African Rand, securing the eighth position, benefits from the nation’s diverse economy and mineral wealth. Industries such as mining and manufacturing contribute significantly to South Africa’s GDP and the Rand’s value.
9. Egyptian Pound (EGP)
Exchange Rate: 1 USD = 30.9029 EGP
The ninth spot goes to the Egyptian Pound, supported by Egypt’s vast economy driven by tourism and remittances. These factors contribute to the Pound’s stability despite economic challenges.
10. Cape Verdean Escudo (CVE)
Exchange Rate: 1 USD = 100.4300 CVE
Cape Verde rounds up our list with the Cape Verdean Escudo. The nation’s services sector and remittances play a vital role in maintaining the Escudo’s strength.
In conclusion, the strength of these currencies is a reflection of their respective nations’ economic stability, diversity, and key industries. From oil revenues to agriculture and tourism, each country’s unique strengths contribute to the resilience of their currencies, making them some of the strongest in Africa.