20 of the World’s Weakest Currencies in 2025

weakest currencies in 2025

In 2025, the global economy is still recovering from a series of shocks—the pandemic aftermath, inflation surges, regional conflicts, and political instability. As a result, some countries are grappling with declining currency values, which are a reflection of deeper economic problems.

But what exactly makes a currency “weak”? It’s not just about the exchange rate. A weak currency typically means that it takes a large amount of that currency to buy one U.S. dollar, often due to inflation, high debt, or lack of investor confidence.

This article takes you through the 20 weakest currencies in the world in 2025. We’ll explore why they are weak, how this impacts their economies, and what it means for people living there.

What Makes a Currency Weak?

A weak currency doesn’t always mean a weak country. But in most cases, several key factors contribute to low currency values:

  • High Inflation: When prices rise rapidly, currency loses its value.
  • Political Instability: Governments in crisis create economic uncertainty.
  • Poor Trade Balance: If a country imports far more than it exports, demand for its currency drops.
  • Low Foreign Exchange Reserves: A country with fewer reserves can’t stabilize its currency.
  • Over-reliance on a Single Export: Countries dependent on oil or minerals often face currency issues when prices fall.

Strong vs Weak Currencies

Feature

Strong Currency

Weak Currency

High demand internationally

Yes

No

Stable economy

Yes

Often unstable

Inflation rate

Low

High

Reserves

Large FX reserves

Low or depleting reserves

Exchange rate to USD

Low (e.g., 1 USD = 0.75 EUR)

High (e.g., 1 USD = 500,000 IRR)

Top 20 Weakest Currencies by Value in 2025

List of Weakest Currencies in 2025

Rank

Currency Name

Country

Value per USD (Aug 2025)

Key Reason for Weakness

1

Iranian Rial (IRR)

Iran

500,000 IRR

Sanctions, inflation, political risk

2

Lebanese Pound (LBP)

Lebanon

96,000 LBP

Economic collapse, debt crisis

3

Zimbabwean Dollar

Zimbabwe

22,000 ZWL

Hyperinflation, unstable economy

4

Venezuelan Bolívar

Venezuela

18,500 VES

Political unrest, inflation

5

Sierra Leonean Leone

Sierra Leone

17,000 SLL

Redenomination effects

6

Uzbekistani Som

Uzbekistan

12,450 UZS

Trade imbalance

7

Guinean Franc (GNF)

Guinea

9,750 GNF

Weak fiscal policy

8

Paraguayan Guarani

Paraguay

7,400 PYG

External debt

9

Congolese Franc (CDF)

D.R. Congo

6,850 CDF

Conflict, poor reserves

10

Lao Kip (LAK)

Laos

5,250 LAK

Inflation and import dependence

11

Cambodian Riel (KHR)

Cambodia

4,150 KHR

Dollarized economy

12

Indonesian Rupiah

Indonesia

15,250 IDR

Large population, trade deficit

13

Uzbekistani Somoni

Tajikistan

11,700 TJS

Monetary instability

14

Malawian Kwacha (MWK)

Malawi

2,300 MWK

Inflation and policy issues

15

Belarusian Ruble

Belarus

9,200 BYN

Sanctions and dependence on Russia

16

South Sudanese Pound

South Sudan

1,650 SSP

Conflict and economic fragility

17

Burundian Franc

Burundi

1,580 BIF

Poor fiscal management

18

Armenian Dram (AMD)

Armenia

960 AMD

Limited external trade

19

Myanmar Kyat (MMK)

Myanmar

2,100 MMK

Military rule, isolation

20

Vietnamese Dong (VND)

Vietnam

24,500 VND

Export-driven strategy

In-Depth Look at the 20 Weakest Currencies in 2025

1. Iranian Rial (IRR)

  • Value per USD: 500,000 IRR
  • Iran continues to struggle with international sanctions and runaway inflation. Despite efforts to stabilize the rial, political isolation and low oil exports have weakened the economy.

2. Lebanese Pound (LBP)

  • Value per USD: 96,000 LBP
  • Lebanon is facing an unprecedented economic crisis. Banking failures, political unrest, and mounting public debt have crashed the LBP’s value.

3. Zimbabwean Dollar (ZWL)

  • Value per USD: 22,000 ZWL
  • Zimbabwe has reintroduced its local currency several times, but hyperinflation remains a problem. Trust in the monetary system is low.

4. Venezuelan Bolívar (VES)

  • Value per USD: 18,500 VES
  • Years of political turmoil and economic mismanagement have left the bolívar practically worthless.

5. Sierra Leonean Leone (SLL)

  • Value per USD: 17,000 SLL
  • After redenominating its currency, the Leone continues to decline. Inflation and high poverty levels persist.

6. Uzbekistani Som (UZS)

  • Value per USD: 12,450 UZS
  • Despite some economic reforms, Uzbekistan’s som remains weak due to trade deficits and monetary issues.

7. Guinean Franc (GNF)

  • Value per USD: 9,750 GNF
  • Guinea has high inflation, low reserves, and dependence on commodity exports, which affects its currency stability.

8. Paraguayan Guarani (PYG)

  • Value per USD: 7,400 PYG
  • A mix of rising external debt and lack of diversification keeps the Guarani on the weaker side.

9. Congolese Franc (CDF)

  • Value per USD: 6,850 CDF
  • Political instability and poor infrastructure hold back the currency.

10. Lao Kip (LAK)

  • Value per USD: 5,250 LAK
  • Laos faces rising prices and a reliance on imports that weaken its local currency.

11. Cambodian Riel (KHR)

  • Value per USD: 4,150 KHR
  • Cambodia heavily uses the U.S. dollar in daily transactions, reducing demand for the Riel.

12. Indonesian Rupiah (IDR)

  • Value per USD: 15,250 IDR
  • While Indonesia’s economy is large, its currency is structurally weak due to its trade model and large population.

13. Tajikistani Somoni (TJS)

  • Value per USD: 11,700 TJS
  • Tajikistan is dependent on remittances, making its currency vulnerable to global fluctuations.

14. Malawian Kwacha (MWK)

  • Value per USD: 2,300 MWK
  • The country faces regular fiscal deficits and limited foreign investments.

15. Belarusian Ruble (BYN)

  • Value per USD: 9,200 BYN
  • Economic sanctions and political dependence on Russia hurt the ruble’s international standing.

16. South Sudanese Pound (SSP)

  • Value per USD: 1,650 SSP
  • Armed conflict and low development prevent currency growth.

17. Burundian Franc (BIF)

  • Value per USD: 1,580 BIF
  • Burundi’s economic output is low, and inflation continues to rise.

18. Armenian Dram (AMD)

  • Value per USD: 960 AMD
  • Though relatively stable, the AMD remains weak in global markets due to trade limitations.

19. Myanmar Kyat (MMK)

  • Value per USD: 2,100 MMK
  • Following a military coup and economic sanctions, Myanmar’s currency has collapsed.

20. Vietnamese Dong (VND)

  • Value per USD: 24,500 VND
  • Vietnam keeps the dong weak intentionally to support exports, not because of economic weakness.

Currency Depreciation Trends in 2025

Regional Breakdown

  • Middle East: Iran and Lebanon dominate the list due to sanctions and economic crises.
  • Africa: Zimbabwe, Sudan, and Sierra Leone reflect the ongoing struggles with inflation and post-conflict rebuilding.
  • Asia: Many Asian currencies remain weak due to trade dependencies and controlled valuations.
  • Latin America: Venezuela remains a key example of currency collapse due to mismanagement.

Is a Weak Currency Always Bad?

Not necessarily. Some countries intentionally keep their currency values low to encourage exports (like Vietnam). This helps foreign buyers get more value for money and boosts domestic manufacturing.

Pros:

  • Makes exports cheaper
  • Can improve trade balance

Cons:

  • Increases import costs
  • Reduces citizens’ purchasing power
  • Can fuel inflation

Countries like Japan and China have used weak currency strategies successfully, but they also maintain strong monetary policies.

How These Currencies Compare to Strongest in 2025

Weakest vs Strongest Currencies in 2025

Currency

Country

Value per USD

Global Rank

Notes

Iranian Rial

Iran

500,000 IRR

1st Weakest

Sanctions, inflation

Vietnamese Dong

Vietnam

24,500 VND

20th Weakest

Policy-driven

Kuwaiti Dinar

Kuwait

0.31 KWD

1st Strongest

Oil-backed, stable policies

Bahraini Dinar

Bahrain

0.37 BHD

2nd Strongest

Oil-rich, pegged to USD

Omani Rial

Oman

0.38 OMR

3rd Strongest

Controlled monetary policy

Key Takeaways for Travelers and Investors

  • Always check current exchange rates when traveling to countries with weak currencies.
  • Currency weakness can affect the cost of living and doing business.
  • Forex traders often watch these currencies for high volatility.
  • Investors should be cautious and look for hedging opportunities.

CTA: Use trusted sources like XE or OANDA for up-to-date rates.

Takeaways

The world’s weakest currencies in 2025 reveal more than just numbers on a chart—they expose the vulnerabilities of economies facing inflation, debt, conflict, and instability. While some nations like Vietnam and Indonesia manage weak currencies strategically, others like Iran, Lebanon, and Zimbabwe continue to suffer from deeper systemic issues.

Understanding these trends can help travelers, investors, and economists better navigate a rapidly changing global financial landscape.