By Faith Nyasuguta
Following the ongoing Covid-19 pandemic, Africa’s economy has continued to trail behind.
During this period, some African currencies have gotten weaker when compared with the pound or US dollar.
Experts agree that low living standards and a diminishing national economy are the greatest contributors to the dwindling currencies.
The International Monetary Fund says the US dollar has been the cardinal currency worldwide. It is responsible for 60 per cent of global transactions.
Here are Africa’s 10 most powerful currencies compared to the US currency.
1. Libyan Dinar (1 USD = LD 1.41)
This Libyan Dinar has preserved its strength for a number of years when compared to the USD.
Libya is currently experiencing a war after the ouster of longtime leader Muammar Gaddafi.
Despite this, the North African nation has experienced a low turnover in matters of currency.
2. Tunisian Dinar (1 USD = DT 2.87)
Tunisia is another North African nation with a strong currency despite a dwindling economy and Covid-19 demonstrations.
It has shown resilience towards the USD even as the nation enjoys sinister export and import guidelines with fixed conversions.
3. Ghanaian Cedi (1 USD = GH 5.49)
Ghana’s currency is the top in Sub-Saharan Africa but still comes after Libya’s Dinar and Tunisia’s Dinar.
The Cedi boasts a greater GDP per capita, the biggest in the West of Africa.
4. Moroccan Dirham (1 USD = MAD 9.20)
Morocco is one lucky nation that boasts direct trade with a number of European nations due to its proximity.
For decades, Morocco has kept down its currency at 40 per cent of the USD and 60 per cent to the Euro.
5. Botswana Pula (1 USD = P 11.6)
Botswana’s pula is thriving due to the nation’s great economy and exemplary political structure.
6. Zambian Kwacha (1 USD = ZK 13.4)
Zambia’s currency strength is drawn from the world’s copper prices.
The nation is the leading producer of Copper on the continent.
7. Seychellois Rupee (1 USD = SR 13.64)
Seychelles is a luxurious tourist destination that has seen the currency get stronger due to a strict money policy.
The nation enjoys a low population of 100,000 people, further boosting its economy.
8. South African Rand (1 USD = R 14.87)
South Africa has maintained its status of being the continent’s leading Gold producer. The commodity has heavily boosted its economy with some of its neighboring nations pinning their economies on the Rand.
9. Eritrean Nakfa (1 USD = NFK 15.00)
Eritrea has set a fixed exchange rate to shield its Nakfa currency from getting devalued.
The currency also got a major boost by a recent revival of ties with neighboring state Ethiopia thus reviving trade between the two.
10. Egyptian Pound (1 USD = E£ 15.86)
Egypt has over the years come up with a string of tough economic measures among them implementing a Value Added Tax in a bid to meet requisites of the $12 billion IMF loan.
However, Egypt came up with interest rates to charm local and foreign investments. This has boosted the currency over the years.
