2568 Which currency is the most expensive in the world this year? Find out the answer with the latest data.

Understanding the Most Expensive Currencies

There are over 180 countries worldwide, each with its own currency to drive their economies and facilitate trade with other nations. The interesting question is: Which currency is the most expensive? That is, the currency in which 1 unit can be exchanged for the most other currencies. In this article, we will explore the ranking of the highest-valued currencies in 2025 and analyze the factors behind their strength.

In-Depth Look at the Highest-Value Currencies

1. Kuwaiti Dinar (KWD) - Queen of World Currencies

Exchange Rate: 1 KWD = 3.26 USD

Kuwait has held the position of the most expensive currency in the world since 1961, when it replaced the Gulf Rupee with the Dinar. Initially, the currency was pegged at 1 KWD = 1 Pound Sterling, then later shifted to a basket of foreign currencies.

The strength of the Kuwaiti Dinar is due to Kuwait’s economy heavily relying on crude oil exports, approximately 3 million barrels per day, making it the 10th largest oil producer globally. Oil revenues have generated wealth, with GDP per capita exceeding $20,000 annually, along with a persistent current account surplus. All these factors contribute to the stability of the KWD.

Details:

  • Abbreviation: KWD
  • Issuer: Kuwait
  • Exchange Rate: 1 KWD = 3.26 USD
  • Currency System: Pegged to a basket of currencies

2. Bahraini Dinar (BHD) - Symbol of Economic Stability

Exchange Rate: 1 BHD = 2.65 USD

Bahrain adopted the Dinar in 1965, replacing the Gulf Rupee. Initially, 1 BHD was equal to ¾ Pound Sterling, but in 2001, it was pegged to the US dollar at 1 BHD = 2.65 USD, which remains today.

Bahrain’s economy is more diversified than other Gulf Cooperation Council countries. While oil remains the main income source, Bahrain has heavily developed its financial services sector. With inflation at just 0.8% and GDP per capita over $20,000, the Bahraini Dinar is considered a reliable and stable currency.

Details:

  • Abbreviation: BHD
  • Issuer: Bahrain
  • Exchange Rate: 1 BHD = 2.65 USD
  • Currency System: Pegged to USD

3. Omani Rial (OMR) - Oil Heritage Product

Exchange Rate: 1 OMR = 2.60 USD

Oman uses the Rial as its official currency, pegged to the US dollar since 1973. Initially, it was set at 1 OMR = 2.895 USD, but soon adjusted to 1 OMR = 2.60 USD, which remains today.

Oman ranks 21st in global oil production, exporting about 1 million barrels per day. Oil is considered the backbone of economic growth, which has averaged 4.1% annually. With low inflation and a persistent current account surplus, the Omani Rial remains a strong and high-value currency.

Details:

  • Abbreviation: OMR
  • Issuer: Oman
  • Exchange Rate: 1 OMR = 2.60 USD
  • Currency System: Pegged to USD

4. Jordanian Dinar (JOD) - Opposite Currency

Exchange Rate: 1 JOD = 1.41 USD

The Jordanian Dinar has a different origin compared to its neighbors. Jordan abandoned its previous currency and introduced the Dinar, pegged to the US dollar at 1 JOD = 1.41 USD.

Jordan does not possess abundant oil resources, making its economy relatively fragile. Currently, growth is about 2.7% annually, with GDP per capita around $3,891. Its current account has been in deficit for decades. However, Jordan maintained foreign reserves of $13.533 billion at the end of 2025, supporting the high value of the JOD.

Details:

  • Abbreviation: JOD
  • Issuer: Jordan
  • Exchange Rate: 1 JOD = 1.41 USD
  • Currency System: Pegged to USD

5. British Pound Sterling (GBP) - Influence of the Old World

Exchange Rate: 1 GBP = 1.33 USD

The Pound has a long history, dating back to the Anglo-Saxon era. During medieval times, the Pound was referenced to silver. Later, with the gold standard, it was linked to gold. This system was widely accepted, allowing 1 GBP to exchange for 4.87 USD, 4.87 CAD, 9.46 Rubles, etc., until the post-World War I era when it transitioned to a floating system.

Today, the UK economy ranks 6th globally, accounting for 3% of world GDP. London remains a major financial hub, with the tech sector valued over $1 trillion, ranking third after the USA and China. These factors create strong demand for the Pound, maintaining its high value.

Details:

  • Abbreviation: GBP
  • Issuer: United Kingdom
  • Exchange Rate: 1 GBP = 1.33 USD
  • Currency System: Floating

( 6. Gibraltar Pound )GIP( - Overseas Territory Currency

Exchange Rate: 1 GIP = 1.33 USD

Gibraltar is a British Overseas Territory located at the tip of the Iberian Peninsula. The Gibraltar Pound has been in use since 1934, issued by the local government, pegged 1:1 to the Pound Sterling. Currently, 1 GIP = 1.29 USD in the global market.

Although GIP is the official currency for local transactions, the Pound Sterling is widely accepted. Both currencies circulate side by side. However, GIP is not recognized in the UK, making it a regional currency.

The strength of the GIP is supported by a stable financial system, low tax policies, and its role as a hub for online gaming, shipping, and financial services. GIP symbolizes Gibraltar’s economic independence.

Details:

  • Abbreviation: GIP
  • Issuer: Gibraltar
  • Exchange Rate: 1 GIP = 1.33 USD
  • Currency System: Pegged to GBP

) 7. Swiss Franc ###CHF( - Safe Haven of Money Worldwide

Exchange Rate: 1 CHF = 1.21 USD

The Swiss Franc has a long history dating back to the 18th century, originally referencing silver. It gradually replaced various local currencies in Switzerland and later linked to the French Franc. Today, the Swiss Franc is known as a “Safe Haven Currency” because Swiss law mandates a minimum of 40% gold reserves to support its value. During World War II, Switzerland served as a neutral refuge for assets worldwide, boosting the Franc’s influence. It is part of the US dollar basket index.

During Greece’s debt crisis and its impact on Europe, the Swiss Franc surged in demand, causing its value to rise rapidly. The Swiss National Bank intervened to stabilize it. Despite this, the Swiss Franc remains a high-value, reputable currency.

Details:

  • Abbreviation: CHF
  • Issuer: Switzerland
  • Exchange Rate: 1 CHF = 1.21 USD
  • Currency System: Semi-floating

) 8. Cayman Islands Dollar ###KYD( - Caribbean Financial Center

Exchange Rate: 1 KYD = 1.20 USD

The Cayman Islands is a British Overseas Territory in the Caribbean. The Cayman Islands Dollar has been in use since 1972, replacing the Jamaican dollar, and is pegged to the US dollar at 1 KYD = 1.20 USD, making it a high-value currency.

As an offshore financial hub, KYD is mainly used for local transactions, while the US dollar is also widely accepted. Despite limited international spending, the strength of KYD reflects a stable financial system, low taxes, and reliance on tourism and international financial services. In 2025, KYD maintained a strong fixed exchange rate, ensuring value and stability.

Details:

  • Abbreviation: KYD
  • Issuer: Cayman Islands
  • Exchange Rate: 1 KYD = 1.20 USD
  • Currency System: Pegged to USD

) 9. Euro ###EUR( - Currency of the Union

Exchange Rate: 1 EUR = 1.13 USD

The Euro is a relatively new currency, introduced in 2000, used in 20 Eurozone countries out of the 27 European Union member states.

In the first three years, the Euro traded below the dollar, but gradually appreciated. In 2008, it peaked at 1 EUR = 1.60 USD.

The Euro is a major global economic influence, serving as an IMF reserve asset at 29.31% of SDR holdings and as the second-largest international reserve currency after the USD, accounting for 19.58% of global reserves.

Details:

  • Abbreviation: EUR
  • Issuer: European Union
  • Exchange Rate: 1 EUR = 1.13 USD
  • Currency System: Floating

Comparison Table of the Most Expensive Currencies

Currency 1 unit in USD USD in reciprocal Currency System Highlights
Kuwaiti Dinar 3.26 0.31 Pegged to a basket Major oil exporter, highest value
Bahraini Dinar 2.65 0.38 Pegged to USD Diversified economy since 1965
Omani Rial 2.60 0.38 Pegged to USD Oil and gas exporter
Jordanian Dinar 1.41 0.71 Pegged to USD Economy less dependent on oil
British Pound Sterling 1.33 0.75 Floating Old currency, decimalized in 1971
Gibraltar Pound 1.33 0.75 Pegged to GBP 1:1 with GBP, overseas territory
Swiss Franc 1.21 0.83 Semi-floating Safe haven currency, used in Liechtenstein
Cayman Islands Dollar 1.20 0.83 Pegged to USD Offshore financial hub since 1970
Euro 1.13 0.89 Floating Used by 20 EU countries since 2002

Factors Contributing to Currency Strength

A currency’s high value isn’t just due to misfortune or luck. Its strength stems from multiple factors:

1. Natural Resources
Oil-exporting countries like Kuwait, Bahrain, and Oman enjoy stable, massive revenues, creating high foreign exchange reserves and strong currencies.

2. Economic Stability
Countries with stable, consistently growing economies attract foreign investors, increasing demand for their currencies.

3. Financial Management
Effective central banks and sound monetary policies—such as low inflation—build confidence in the currency.

4. Current Account Surplus
Countries with persistent current account surpluses export more than they import, supporting currency appreciation.

5. Financial Importance
Global financial centers like the UK, Switzerland, and the US have currencies in high demand due to their economic influence.

Learn Before Deciding

A high currency value doesn’t necessarily mean it’s the best investment. Investors should consider:

  • Government credibility issuing the currency
  • Political risks of the country
  • Interest rates
  • Long-term inflation history
  • Market liquidity of the currency

Summary

The most expensive currencies in 2025 vary from oil-rich nations to major economic powers. However, a high value alone doesn’t guarantee safety or profitability for investors.

Choosing a currency should involve multiple factors, including economic credibility and future exchange rate trends.

View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)