Are you curious about what the world’s strongest currency is? If you are thinking about US currency, you are wrong because the Kuwaiti dinar has been crowned as the #1 World’s Highest Currency; compared to the value of 180 currencies, the Kuwaiti dinar is defined as the most expensive one per unit.
The Kuwaiti dinar is the national currency of Kuwait, and the Roman denarius derives from the word dinar. The Kuwaiti one dinar can be divided into 1000 fils, a gold-coloured coin used in the different Arab countries. Kuwait is a small county. It is situated between Saudi Arabia on the Persian Gulf and Iraq.
When Kuwait dinar falls its value, the US dollar gains value relative to it. When the Kuwaiti dinar appreciated the value relative to the US dollar, the US dollar fell in value. Due to their low volatility and limited global trade are not typically used as a trading currency.
History of Kuwaiti dinar:
The Kuwaiti dinar was introduced in 1961, during Kuwait’s reign of the fifth Amir Sheikh Abdullah bin Sabah bin Jaber Al Sabah. But it was withdrawn from the market after the circulation of only a few hundred pieces of the currency after a few months because the Indian paisa had the greater share in the market during the period. As an independent country, Kuwait had no gold reserve to foster its national currency value.
Kuwaiti banknotes are divided into six different series. The first was in circulation from 1961 to 1982. 14 dinar, 12 dinar, and 10 dinar notes were added to the initial series in 1970, followed by 1 and 5 dinar notes in 1971. The third series was released in 1980, coinciding with the ascent of Emir Jaber al-Ahmad al-Jaber al-Sabah. However, it was rendered worthless after Iraqi forces stole it. The fourth series was issued after the invasion in 1991, and it remained legal tender until 1995. The fifth series was released in 1994, and it had cutting-edge security features. The most recent version, released in 2014, included haptic features to aid blind persons in recognizing different descriptors
The Kuwaiti dinar (KWD) was a replacement for the Gulf rupee issued by the Indian government in 1959. The Kuwaiti was worth about 3.31 United States dollars. The military conquest of Kuwait by Iraq in 1990, many banknotes were taken, and the Iraqi dinar became the country’s currency until American-led forces liberated it. The Kuwaiti dinar was reintroduced as the country’s currency when the Iraqis were gone.
After the long journey, the Kuwaiti dinar became the world’s highest currency, and from 2016 to 2021, the currency was relatively stable from the other 180 currencies. The crime level at the State of Kuwait is very low, and due to its stable political condition, the Kuwaiti dinar has the highest currency rate.
The reason behind why the Kuwaiti dinar has the highest currency rate?
Do you think that among 180 currencies, why the Kuwaiti dinar has the highest currency rate? Well, in the current circumstances, most people think that Euro or US dollar is the currency that is the strongest currency. But the fact is that the Kuwaiti dinar has entitled as the strongest currency rate in the world. Here is the list of the top 10 currencies ruling in the world:
- Kuwaiti dinar
- Bahraini dinar
- Omani dinar
- Jordanian dinar
- British pound
- Cayman Islands dollar
- Swiss franc
- US Dollar
- Canadian Dollar
Kuwaiti dinar has the highest currency rate globally because of Kuwait’s economy, stable political condition, and oil. Kuwait is the fourth richest country in the world per capita, thanks to oil revenues and a thriving financial industry, and unemployment is just 3.4 per cent. Kuwait is considered a frontier market to invest in, with the best companies to invest in sitting within the commodities sector. Kuwait, unlike other Gulf republics, does not priorities tourism. 87% of the country’s export is based on refined and crude oil.
Kuwait is also protecting its future and transferring ¼ per cent of its revenue into generation funds. Kuwait is the owner of a more stable position among other oil-producing countries; this is the main reason behind its success and makes Kuwaiti dinar the world’s highest currency.