Rupiah Among World's 10 Weakest Currencies

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Adi Ahdiat 04/07/2023 14:00 WIB

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According to Forbes, the Indonesian rupiah is the sixth weakest currency in the world, measured by its exchange rate against the United States dollar on July 3, 2023.

10 of the World's Weakest Currencies Based on Their Exchange Rate Against the USD (July 3, 2023)

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10 of the World's Weakest Currencies Based on Their Exchange Rate Against the USD (July 3, 2023)

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According to *Forbes Advisor*, the Indonesian rupiah was one of the weakest currencies in the world in early July 2023.

*Forbes Advisor* measures the strength of currencies based on their exchange rate against the United States dollar (USD).

On July 3, 2023, 1,000 Indonesian rupiah could only be exchanged for USD 0.067 (an exchange rate of Rp 14,985 per USD 1).

This placed the rupiah in the list of 10 currencies with the lowest exchange rates globally, on par with the Lebanese pound.

"Indonesia's status as the world's fourth most populous country could not protect it from currency pressures. Although the rupiah has shown strength in 2023 compared to other Asian currencies, depreciation has rocked the rupiah in previous years," said John Egan, a Forbes Advisor contributor, on Monday (July 3, 2023).

Currencies with weaker exchange rates against the USD than the rupiah include the Iranian rial, Vietnamese dong, Lao kip, and Sierra Leonean leone.

Other currencies slightly stronger than the rupiah, but also included in the top 10 weakest, are the Uzbek som, Guinean franc, Paraguayan guarani, and Ugandan shilling, as shown in the graph.

However, the strength of all the above currencies could change, depending on the foreign currency used as a benchmark.

"World currencies are traded in pairs. So, for example, you exchange—more accurately, buy—US dollars with Australian dollars. This trading sets the price of one currency relative to another," said Forbes Advisor on its website (July 3, 2023).

"Most currencies have a 'floating' value, meaning their value moves in response to supply and demand factors. But some currencies have a 'pegged' value; their value against another currency, such as the dollar, remains stable at an agreed rate," it continued.

These exchange rate movements provide opportunities for investors to profit from foreign exchange trading.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Rupiah Among World's 10 Weakest Currencies

Rupiah Among World's 10 Weakest Currencies

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Rupiah Among World's 10 Weakest Currencies

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