To do this, we meticulously compared the currencies used in all 54 countries in Africa by converting the sum of 1000 in each of these currencies into dollars.
What you should know about exchange rates
Before we go ahead and reveal the top 10 African currencies as of Q1 2022, let’s first discuss a little about currency valuation and exchange rates, shall we?
The first thing to remember is that exchange rates are rarely constant. This is due to the volatility of the foreign exchange market, which is characterized by unexpected fluctuations in currency rates due to various economic factors.
As you may know, exchange rate essentially has to do with the value of a currency when converted into another currency. The US dollar is currently the most used currency in global trade. For this reason we have used it as our reference currency. However, the top 10 currencies in Africa generally have the highest value when converted to dollars.
Finally, the following quote from Investopedia explains why the exchange rate is an important topic that everyone should be interested in.
“Exchange rates have a significant impact on the operations and profitability of businesses. Exchange rate volatility affects not only multinationals and large companies, but also small and medium-sized businesses, including those that only operate in their home country. Exchange rate risk is an issue of obvious concern for business owners, investors should also become familiar with it as it has huge implications can have on their holdings.”
fair warning: Exchange rates are volatile. Therefore, the numbers may have changed by the time you read this article.
10 African currencies with the highest exchange rates against the dollar
- Tunisian dinar: TND1000 was converted to $334.39 at the time of writing this article.
- Libyan Dinar: LYD1000 converted to $214.51 at the time of writing this article.
- Ghanaian cedi: GHS1000 was converted to $133.81 at the time of writing this article.
- Moroccan dirham: DH1000 converted to $103.21 at the time of writing this article.
- Botswana Pula: BWP1000 converted to $87.33 at the time of writing this article.
- Seychelles rupee: SCR1000 converted to $69.65 at the time of writing this article.
- South African Rand: At the time of writing this article, 1000 ZAR has been converted to $68.81.
- Lesotho Loti: L1000 converted to $68.81 at the time of writing this article.
- Namibian Dollar: NAD1000 was converted to $67.16 at the time of writing this article.
- Eritrean Nakfa: ERN1000 was converted to $66.66 at the time of writing this article.