The US dollar is highly esteemed worldwide and is the top choice for many nations seeking to buy US bonds denominated in dollars. While the USD is considered a reliable currency, there are others that outperform it.
This means that the value of foreign currencies exceeds $1 per unit. However, a higher currency value doesn’t necessarily indicate a stronger or larger economy in the other nation. Exchange rates are influenced by various factors, including the amount of currency in circulation.
The nations listed below currently have exchange rates surpassing that of the US dollar.
1. British Pound (GBP)
The British Pound, or sterling, has a storied history as one of the oldest currencies still in use. In the early 20th century, it was considered the world’s primary reserve currency. However, a gradual decline ensued, and by the mid-20th century, the pound’s value had diminished against the US dollar. A turning point came in the 1980s when the pound regained strength.
Today, it remains a symbol of economic stability and is actively traded on global financial markets.
1 GBP = 1.27099 USD
2. Bahraini Dinar (BHD)
The Bahraini Dinar is pegged to the US dollar, showcasing a slightly higher value. Bahrain’s economy, largely dependent on oil, has faced challenges due to fluctuating oil prices. The peg to the US dollar provides a degree of stability to the currency, contributing to investor confidence in the region.
1 BHD = 2.652772 USD
3. Kuwaiti Dinar (KWD)
The Kuwaiti Dinar is often considered the world’s highest-valued currency. This status is closely tied to Kuwait’s substantial oil wealth. Over the years, Kuwait has diligently managed its riches, accumulating a significant sovereign wealth fund through the Kuwait Investment Authority.
The fund has not only supported economic stability but also positioned Kuwait as a key player in global finance.
1 KWD = 3.254255 USD
4. Cayman Islands Dollar (KYD)
The Cayman Islands Dollar is pegged at a rate higher than the US dollar. As a renowned tax haven, the Cayman Islands attract a substantial portion of international financial activities. The stability of its currency is a testament to the jurisdiction’s significance in global finance and its ability to maintain a pegged exchange rate.
1 KYD = 1.20 USD
5.Jordanian Dinar (JOD)
Jordan’s strategy involves pegging the Jordanian Dinar to the US dollar at a higher rate, aiming to attract US investment. The stability of this peg is crucial for Jordan’s economic development. Through careful management, Jordan seeks to enhance competitiveness and ensure economic stability in the region.
1 JOD = 1.409642 USD
6. Omani Rial (OMR)
The Omani Rial is pegged to the US dollar, and its stability is driven by Oman’s robust oil production. Additionally, the country’s adherence to strict banking regulations and conservative monetary policies has contributed to the resilience of the Omani Rial.
By managing its financial resources prudently, Oman has shielded itself from regional conflicts, ensuring a relatively low inflation rate and fostering a favorable environment for risk-averse enterprises.
1 OMR = 2.597799 USD