23 Jun

10 Worst Currencies of the World

In 2008, a list of the world’s worst currencies appeared on the Internet. We decided to update it and see if anything had changed in the last 2 years. There were a few surprises….

World’s Worst Currencies in 2010

This “Top Ten” list is based on the currency exchange rates for June 2010. If you are considering visiting any of these countries for your holidays, then you will need a ruck-sack instead of a wallet, and remember to be vigilant when placing the decimal point in your currency converter! Look out for this year’s 3 “new entries”.

1. Sao Tome & Principe

$1 USD = 20,188.00 Dobra

The Dobra was No.5 in 2008, but No.1 in 2010.

Sao Tome & Principe Dobra

Source

2. Vietnam

$1 USD = 18,731.00 Dong

The Dong has risen from No.4, to No.2.

Vietnam Dong

Source

3. Iran

$1 USD = 9,918.00 Rial

The Rail has risen from No.7 to No.3.

Iran - Paying the hotel bill

Source

4. Indonesia

$1 USD = 9,174.00 Rupiah

The Rupiah was No.6 in 2008, but No.4 in 2010.

Indonesian Rupiah

Source

5. Laos

$1 USD = 8,193.00 Kip

The Kip was No.8 in 2008, but No.5 in 2010.

Laos - Paying a bill

Source

6. Guinea

$1 USD = 4,991.00 Franc

The Franc has risen from No.9 to No.6.

Guinea - Changing money at the border

Source

7. Zambia

$1 USD = 4,964.00 Kwacha

The Kwacha is a new entry on the list.

Zambian Kwacha

Source

8. Paraguay

$1 USD = 4,670.00 Guarani

The Guarani has gone from No.10 to No.8.

Paraguay Guarani

Source

9. Cambodia

$1 USD = 4,183.00 Riel

The Riel is a new entry in 2010.

Cambodian Riel

Source

10. Belarus

$1 USD = 3,018.00 Ruble

The Ruble is a new entry this year.

Belarus Ruble

Source

Previously in 2008, the top 3 were:

1. Zimbabwe : $1 USD = 642,371,437,695,221,000 Zimbabwean Dollars

2. Somalia : $1 USD = 35,000 Shillings

3. Turkmenistan : $1 USD = 24,000 Manat

Surprisingly, these have gone from the new list…. Was there an extraordinary economic recovery? Were they replaced by even worst world currencies? Where are they now – what happened? The answer is quite simple…….

- they ceased to exist!

Some countries have discovered that the best way to turn around an economy and improve the currency is to knock off a few zeroes, change the picture on the notes, and have new money printed in another country (preferably somewhere far, far away). It seems to work!

Zimbabwe

Zimbabwe "old" Dollar - Paying for a beer

Source

Although the Dollar was considered to be among the highest valued currency units when it was first introduced in 1980, political turmoil and hyperinflation rapidly eroded the value of the Zimbabwe Dollar to become one of the least valued currency units in the world. It is incredible to think there was a time when 100 trillion Zimbabwe Dollars was not enough to buy a loaf of bread!

In August, 2008, ten zeroes were removed from the currency, reducing 10 billion Zimbabwean Dollars to one Dollar. Then in February 2009, the Reserve Bank of Zimbabwe had to remove 12 zeros from the currency, with 1,000,000,000,000 Zimbabwe Dollars being exchanged for 1 “new” Dollar.

Despite attempts to control inflation by legislation, the use of the Dollar as an official currency was effectively abandoned on 12 April 2009, although exchange rates with the Zimbabwean Dollar are still maintained at reasonable intervals. Currently, foreign currencies such as the South African Rand, Botswana Pula, Pound Sterling and the United States Dollar are widely used for nearly all transactions in Zimbabwe, and the government insists that the Zimbabwean Dollar should only be reintroduced if the industrial output improves.

http://en.wikipedia.org

http://edition.cnn.com

Somalia

Somali - Wheelbarrow of "Old" Shillings

Source

Somalia has had no effective central government for nearly two decades, and conflict continues in the southern and central parts of the country between government troops and extremist Islamist militants. On 12 January 2010, the Transitional National Government signed a deal costing $17 million to print new currency for Somalia. The shipment of notes which has been printed in Sudan is said to be 200 billion Shillings, all in one thousand Shilling denominations. Today, the rate of exchange for the new currency is 1$ USD = 1,531.30 Shillings.

This new money has divided the country, and Somalia’s Islamist insurgent groups, Hizbul Islam and Al-Shabaab have warned Mogadishu residents over usage of newly printed Somali currency. Hizbul Islam’s governor in Mogadishu said they will punish whoever is caught using or carrying the currency.

http://insidesomalia.org

http://www.hiiraan.com

Turkmenistan

Turkmenistan "New" Manat

Source

The former Soviet republic got its own currency on November 1, 1993, when the Manat replaced the Russian Ruble.

Turkmenistan has now revalued its currency, cutting off three zeroes while also removing the image of its autocratic former leader, Saparmurat Niyazov, from all coins and all but one banknote. The “new” Manat was introduced on January 1, 2009, and bears images of prominent figures of the Turkmen nation and architectural compositions of Ashgabat. Prior to the revaluation, the official exchange rate was 5,000 Manats to the US dollar, with the black market rate almost five times that. The new Manat is equal to 50 of the “old” Manat.

http://banknoteupdate.com

http://www.rferl.org

2010 Currency Exchange Rate Information:

http://www.oanda.com

2008 World’s Worst Currencies Article:

http://www.foxnews.com