Analysis shows that the Libyan Dinar is the strongest currency in Africa. Read the Analysis by Desmond Frimpong of published in pulse.com.gh.
A nation’s financial index hinges very strongly in its strength or value of its currency.
The current economic tide uses the purchasing power of a nation’s currency to reflect the current economic situation of a country as compared with other countries in the world.
Most economies use the dollar as a yardstick to measure the economic progress and strength of their currency against the dollar.
This review would be using the dollar to rank seven of the strongest currencies in Africa.
The list below has some surprising additions and a few nations one would not expect to make the list.
A perfect example would be the naira which is the official currency of Nigeria and happens to be Africa’s largest economy and most populated country was nowhere to be found on the list whilst the dinar, the official currency of Libya, made the list although the North African country has been in intense civil conflict for the past decade.
The pula is Botswana’s official currency, with $1 worth about 10.8 Botswanan pula. The Botswanan economy is regarded as an African success story; the country boast of one of the highest Human Development Indexes (HDI) in Africa. The Botswana government generates its revenue from mining, cattle ranching, and the service sector.
Morocco has one of the strongest currencies in Africa, with $1 currently exchanging for about 9.9 Moroccan dirham. The government generates most of its revenue from tourism, manufacturing, and agriculture.
Kwacha is the official currency of Zambia and the exchange rate is currently 1USD for about 9.84 Zambian kwacha which makes it a strong currency in southern Africa. Zambia inclusions may come as a surprise since its economy is largely driven by agriculture and a small portion from tourism.
Although has experienced civil unrest for the past decades, Sudan has managed to keep the value of its official currency strong and they did by through a series of re-evaluations, with the most recent coming in 2011 and $1 currently exchanging for 6.4 Sudanese pounds. Their major source of income is from crude oil exports, fishing, and agriculture.
Ghana is the only West African country on this list. One USD currently exchanges for 4 Ghanaian cedis, Ghana’s currency is the second most valuable currency on the list. Since the nation has had a peaceful democracy for years and the economy is also well managed. The recent discovery of oil has helped boost the economy of Ghana.
The Libyan dinar is Africa’s strongest currency. One dollar currently exchanges for about 1.4116 Libyan dinars. This is a remarkable feat since North African country has been in a civil unrest since former dictator Muammar Gaddafi was removed from office in 2011 Arab. Some analyst believe the currency has held strong due to the country’s extensive oil reserves and its middleman role between Africa and Europe.
View: Please where is the Naira?