Africa is a continent rich with natural resources but is generally associated with an economy on a downward slope, especially with the after-effects of the COVID-19 pandemic, conflicts in its nation-states and disruptions to global supply chains. However, against that popular narrative, many African economies remain resilient.
If you have ever wondered what African economies still thrive against the odds, well, here in this article, I will share the top ten (based on currency strength) in a continent home to 57 countries.
Here are the top ten countries with the highest currency in Africa;
- Tunisian Dinar
Currency Name: Dinar
Code: TND
Current Exchange Rate: $1 = 3.11
Inflation Rate in: 5.6%
The Dinar is the national currency of Tunisia, a North African country on the Mediterranean coast. The Tunisian Dinar was introduced on November 1, 1958, replacing the Tunisian franc at a rate of 1,000 francs to 1 dinar.
The decision to establish a new currency was part of Tunisia’s efforts to declare its economic and political independence following the end of French colonial rule.
The Tunisian Dinar ranks first; it is the strongest currency in Africa and is one of the best-performing currencies globally.
The Dinar is the most stable African currency against foreign inflation rates and has low volatility compared to other currencies.
2. Libyan Dinar
Currency Name: Dinar
Code: LYD
Current Exchange Rate: $1 = 4.81
Inflation Rate: 7.47%
Ranking second is the Libyan Dinar (LYD), the official currency of Libya, a North African country too. The Libyan Dinar was introduced in 1971, replacing the Libyan Pound at a rate of 1 Dinar to 10 Pounds.
The Libyan dinar is one of the strongest currencies in Africa, and it has a relatively low volatility index compared to other currencies.
3. Ghanaian Cedi
Currency Name: Cedi
Code: GHC
Current Exchange Rate: $1 = GH₵ 12.08
The Ghanaian Cedi (GHS) is the official currency of the West African country, Ghana. The Ghanaian Cedi was introduced in 1965, replacing the Ghanaian Pound at a rate of 2.4 Cedis to 1 Pound.
Notably, in 2007, the currency was redenominated, with the new Ghanaian Cedi (GHS) replacing the old Cedi (GHC) at a rate of 1 new Cedi to 10,000 old Cedis.
The Ghanaian Cedi is one of the strongest currencies in Africa, and currently, one Ghanaian Cedi (GHS) exchanges for about $0.080391.
4. Moroccan Dirham
Currency Name: Dirham
Code: MAD
Current Exchange Rate: $1 = DH 9.93
The Moroccan Dirham (MAD) is the official currency of Morocco, located in North Africa. The Dirham was reintroduced in 1960, replacing the Moroccan Franc. The Moroccan Dirham has seen exponential growth since 2011 when King Mohammed VI came into power and introduced free-market reforms that helped grow economic stability.
5. Botswana Pula
Currency Name: Pula
Code: BWP
Current Exchange Rate: $1 = 13.65P
The Pula comes in at number 5. The Botswana pula (BWP) is the official currency of Botswana, a landlocked country in Southern Africa. The pula has been the country’s official currency since 1976 when it replaced the South African rand. Botswana is one of the most stable currencies in Africa.
However, it’s worth noting that Botswana's currency is tied to the South African Rand.
6. Seychellois Rupee
Currency Name: Seychellois Rupee
Code: SCR
Current Exchange Rate: $1 = SRe 13.65
The Seychelles Rupee (SCR) is the official currency of Seychelles, an oasis of 115 islands in the Indian Ocean located off the coast of East Africa.
Seychelles has a small, open economy that relies primarily on the tourism and fishing industries. The Seychellois Rupee is one of the highest currencies in Africa in terms of value.
7. South African Rand
Currency Name: Rand
Code: ZAR
Current Exchange Rate: $1 = R 19.07
The South African Rand (ZAR) is the official currency of South Africa, a country located at the southern region of the African continent.
South Africa has one of the strongest economies, and the Rand is one of the strongest currencies in Africa, and this is due to recent economic growth. South Africa’s GDP can support this, growing at a rate of 4.6% annually.
8. Eritrean Nakfa
Currency Name: Nakfa
Code: ERN
Current Exchange Rate: $1 = Nfk 15.00
The Eritrean Nakfa (ERN) is the official currency of Eritrea, a country in the Horn of Africa bordered by Sudan, Ethiopia, and Djibouti. The Nakfa was introduced in 1997, replacing the Ethiopian Birr, which was used during Eritrea’s time as a province of Ethiopia.
The country's fixed exchange rate is the primary determinant of Eritrea’s currency value, making it one of the most valuable currencies in Africa. The Nakfa is also one of Africa’s most liquid fund assets and can be used worldwide for international payment.
9. Egyptian Pound
Currency Name: Egyptian Pound
Code: EGP
Current Exchange Rate: $1 = E£ 30.66
The Egyptian Pound (EGP) is Egypt's official currency. The Egyptian Pound was introduced in 1834, replacing the piastre as the country’s primary currency unit.
Egypt has one of the oldest economies globally. Egypt has had a solid economic recovery since the political turmoil that shook its economy over recent years, with inflation reduced from more than 30% to less than 10%.
10. Zambian Kwacha
Currency Name: Kwacha
Code: ZMW
Current Exchange Rate: $1 = ZK 26.39
The Zambian kwacha is the official currency of Zambia. The kwacha was first introduced in 1968, replacing the Zambian pound.
The name “kwacha” means “dawn” in the Nyanja language, one of Zambia’s major languages.
One of the reasons it is one of the strongest currencies in Africa is that Zambia is the largest copper producer in Africa. The country has rich mineral resources, and with Copper being the most dominant metal, mining of Copper is done on a large scale.
