📊 The most devalued currencies on the planet: an analysis of 50 economies in crisis

In the global currency market, there is a group of currencies that have lost value dramatically against the US dollar. These data reflect a complex reality: while some investors seek opportunities in emerging markets, others watch with concern as their local economies erode. Below, we examine the cheapest currency in the world and 49 others facing severe depreciation.

Extreme Cases: When Inflation Consumes Economies

The most critical outlook is observed in countries with deep economic crises. Venezuela leads this somber list with its bolívar (VES), where 1 USD is approximately 4,000,815 VES. Iran follows with its rial (IRR) at 514,000 per dollar, evidencing international economic sanctions and inflationary pressures. Syria presents another story of collapse, with its pound (SYP) reaching 15,000 per US dollar.

These are not random numbers: they represent economies where uncontrolled inflation, institutional corruption, and external sanctions have converged to destroy confidence in the national currency.

Southeast and Southern Asia: Gradual but Persistent Depreciation

The second group of most affected countries is concentrated in Asia. Vietnam (24,000 VND per USD), Laos (17,692 LAK), Cambodia (4,086 KHR), and Thailand show a different pattern: developing economies struggling to maintain export competitiveness but facing moderate inflationary pressures.

Indonesia presents an interesting case: with 14,985 IDR per dollar, a significant Asian economy continues to experience pressure on its currency. Pakistan (290 PKR), Bangladesh (110 BDT), and Sri Lanka (320 LKR) complete this region’s ongoing depreciation landscape.

Africa: Weak Currencies in Fragile Economies

The African continent hosts multiple weak currencies linked to structural challenges. Sierra Leone (17,665 SLL), Guinea (8,650 GNF), Uganda (3,806 UGX), Tanzania (2,498 TZS), and Nigeria (775 NGN) reflect regional inflationary pressures worsened by political volatility.

Ghana (12 GHS), Kenya (148 KES), Malawi (1,250 MWK), and Zambia (20.5 ZMW) demonstrate how economies dependent on raw material exports suffer when global prices fall. Mozambique (63 MZN) and Madagascar (4,400 MGA) close this African group.

Latin America: Between Inflation and Reforms

Colombia (3,915 COP), Paraguay (7,241 PYG), Nicaragua (36.5 NIO), and Haiti (131 HTG) experience different dynamics. While Colombia faces inflationary pressures but maintains some institutional stability, Haiti struggles against violence and political instability that erodes its gourde (HTG).

Eastern Europe and Central Asia: Post-Soviet Legacies

Belarus (3.14 BYN), Moldova (18 MDL), Armenia (410 AMD), and Georgia (2.85 GEL) share legacies of post-Soviet economies. These nations face pressures from both global economic cycles and regional geopolitical dynamics.

Uzbekistan (11.420 UZS), Tajikistan (11 TJS), and Kyrgyzstan (89 KGS) complete this group, where limited market reforms and resource dependence have contributed to persistent currency depreciation.

Other Economies with Weak Currencies

The analysis also covers Iraq (1,310 IQD), Lebanon (15,012 LBP), Yemen (250 YER), Afghanistan (80 AFN), Somalia (550 SOS) —conflict or post-conflict economies—, along with Suriname (37 SRD), Fiji (2.26 FJD), Iceland (136 ISK), and the Philippines (57 PHP), which show less extreme but still significant depreciation dynamics.

What does this tell us about the global economy?

The presence of these 50 currencies in the cheapest category in the world is no coincidence. It reveals a pattern: countries with weak institutions, uncontrolled inflation, dependence on imports, or geopolitical conflicts tend to see their currencies depreciate dramatically.

For investors and traders, these data represent both risks and diversification opportunities. Monitoring these exchange rate dynamics provides valuable insights into global macroeconomic health and emerging market trends that can impact asset allocation decisions.