The strongest currencies in the world in 2026

The world's strongest (most valuable) currencies are those that trade at a higher nominal value relative to major global currencies such as the USD or EUR. They are generally supported by a robust economy, sound monetary policy, healthy external balances, and controlled inflation.

Currently, in 2026, the list of strongest currencies is primarily dominated by Middle Eastern dinars, European safe-haven currencies, and certain developed market currencies.

What does "strongest currency" mean?
A strongest currency is one that has a higher value than other global currencies, such as the US dollar (USD), the euro (EUR), and the British pound (GBP). A common way to measure a currency's strength is its exchange rate against the US dollar, which serves as the global benchmark in the foreign exchange market. A higher exchange rate indicates a strong currency.

There are several criteria besides the exchange rate for measuring a currency's strength, including:

🔹Purchasing Power Parity (PPP): This measures the quantity of goods and services a currency can buy domestically, reflecting real-time economic strength rather than just market prices.

🔹Reserve Status: When currencies are widely held by central banks as reserves, this indicates global confidence and the currency's financial importance.

🔹Dominance of Global Trade: Currencies frequently used in international trade and commodity pricing are considered stronger due to consistent global demand.

🔹Stability and Inflation Levels: Low inflation, stable monetary policy, and economic predictability strengthen a currency's long-term strength and boost investor confidence.

The strongest currency strikes a balance between high exchange value, significant purchasing power, global acceptance, and economic stability.

List of the world's strongest currencies
The 10 strongest currencies in the world are listed below in the table with their codes and exchange rates.

Kuwaiti dinar (KWD): 1 USD ≈ 0.30 KWD
Bahraini dinar (BHD): 1 USD ≈ 0.37 BHD
Omani rial (OMR): 1 USD ≈ 0.37 OMR
Jordanian Dinar (JOD): 1 USD ≈ 0.71 JOD
Pound sterling (GBP): 1 USD ≈ 0.71 GBP
Swiss franc (CHF): 1 USD ≈ 0.77 CHF
Cayman Islands dollar (KYD): 1 USD ≈ 0.83 KYD
Euro (EUR): 1 USD ≈ 0.84 EUR
US dollar (USD): 1 USD = 1 USD
Canadian dollar (CAD): 1 USD ≈ 1.36 CAD

The exchange rates shown above are approximate values ​​against the US dollar. A currency's exchange rate reflects only its exchange value, not its economic size or purchasing power.

The world's strongest currency, ranked by its exchange rate against the USD, is briefly presented below.

#1: The Kuwaiti dinar (KWD)

The Kuwaiti Dinar (KWD) is the official currency of the State of Kuwait and is widely recognized as the world's strongest currency in terms of exchange value. The Kuwaiti Dinar (KWD) was introduced in 1961 after Kuwait gained independence from British protection. In 1968, the Central Bank of Kuwait (CBK) was established to regulate and issue the currency. Currently, the Kuwaiti dinar is supported by significant oil wealth and prudent monetary policy, which has allowed it to maintain exceptional stability and global confidence.



Currency name: Kuwaiti Dinar
Currency code: KWD
Symbol: د.ك
Value in EUR (approximate): 1 KWD ≈ 2.76 EUR

Why is the Kuwait's dinar so strong?

Supported by substantial oil reserves and consistently high export revenues.
Maintained through a peg to a basket of currencies, ensuring stability and flexibility.
Supported by significant foreign exchange reserves and a budget surplus.
Prudently managed by the Central Bank of Kuwait, ensuring monetary discipline.

Weaknesses of the Kuwaiti Dinar

Heavily dependent on oil, making it sensitive to fluctuations in crude oil prices.
Limited economic diversification beyond the energy sector.
Low global circulation and convertibility against major currencies.
Exposure to regional geopolitical risks in the Middle East.

The Kuwaiti dinar is divided into 1,000 fils instead of the usual 100. Kuwait replaced all banknotes after the 1990 Gulf War to prevent the misuse of stolen currency.