A currency is a medium of exchange for goods and services. But not all currencies are created equal. Some majorly underperform compared to others due to a variety of reasons, from economic policy to inflation, leaving their citizens with a decreased ability to buy basic goods. Here are the 10 worst currencies in the world.
The Venezuelan BolÃvar
The Venezuelan BolÃvar is, without a doubt, one of the worst performing currencies in the world today. The Bolivar has struggled to keep up with inflation since 1999 when Hugo Chavez took office and implemented a series of economic policies. In 2021, the BolÃvar has an inflation rate of over 6,000%, making it nearly unusable by citizens.
The Somali Shilling
The Somali Shilling is another currency that has suffered from high rates of inflation in recent years. This is due in part to the Somali Civil War, which began in the late 1980s and has continued to create economic instability throughout the region. As of 2021, the Somali Shilling has an inflation rate of around 10%.
The Zambian Kwacha
The Zambian Kwacha has faced high rates of inflation and a weak economy for many years, due to a variety of factors including mismanagement of funds and high levels of corruption. As of 2021, the Zambian Kwacha has an inflation rate of 15%.
The South Sudanese Pound
The South Sudanese Pound has long been one of the worst performing currencies in the world. This is due to the ongoing civil war in the region which has caused massive economic instability and a skyrocketing inflation rate. In 2021, the South Sudanese Pound has an inflation rate of 25%.
The Iranian Rial
The Iranian Rial has been suffering from a runaway inflation rate since the early 2000s. This is due to a number of economic policies enacted by the Iranian government, including increasing oil production and international sanctions. As of 2021, the Iranian Rial has an inflation rate of around 25%.
The Sudanese Pound
The Sudanese Pound has been struggling against inflation since its introduction in 2007, due in part to a prolonged civil war in the region. Additionally, the enforcement of U.S. sanctions against Sudan has had a negative effect on the economy and currency. As of 2021, the Sudanese Pound has an inflation rate of around 35%.
The Liberian Dollar
The Liberian Dollar has been struggling with a high inflation rate for many years, mostly due to the country’s civil war from 1989 to 2003. Additionally, inadequate economic policies have also impacted the currency’s performance. As of 2021, the Liberian Dollar has an inflation rate of around 40%.
The Zimbabwean Dollar
The Zimbabwean Dollar has long been one of the worst performing currencies in the world. This is due to a variety of economic policy decisions made by the government, including the printing of paper money with no real value and the nationalization of the banking sector. As of 2021, the Zimbabwean Dollar has an inflation rate of over 50%.
The Armenian Dram
The Armenian Dram has been struggling with a high inflation rate since its introduction in 1993, due to wars in the region and an unstable economy. As of 2021, the Armenian Dram has an inflation rate of around 55%.
The currencies discussed here are just a few examples of the worst performing currencies in the world today. From Venezuela to Somalia, countries all around the world are struggling with economic instability and skyrocketing inflation rates which could lead to even more dire circumstances in the future. It is important to be aware of the world’s financial landscape and to understand the major issues that are impacting currency values.