List of the 20 Weakest Currencies in the World 2025

The global economy is characterized by fluctuating currencies, influenced by factors such as GDP growth, inflation, political stability, and international trade. In 2025, the weakest currencies in the world highlight nations struggling with economic challenges, low buying power, and reduced GDP contributions to the global economy. This article explores the 20 weakest currencies globally, providing detailed insights into their causes, impacts, and related economic studies.

Understanding Currency Valuation

A currency’s value is determined by its purchasing power and its exchange rate against strong currencies, most notably the US Dollar (USD). Countries with weaker economies tend to have currencies with lower values, making international trade and imports more expensive for them. Changes in these valuations are often tied to broader economic fundamentals like GDP growth rates, political decisions, and inflation levels.

Key Factors that Impact Currency Strength

• GDP Performance: Nations with low GDP growth often experience weaker currencies.
• Inflation Rates: High inflation erodes the value of currency significantly.
• Political Instability: Political unrest can deter investors and reduce currency value.
• Dependency on Imports: When a country heavily depends on imports, its currency exchange rate suffers.

Top 20 Weakest Currencies in 2025

As global exchange rates evolve, certain currencies stand out for their declining value. Examining 2025’s weakest currencies reveals the challenges faced by respective nations. Below is the detailed list:

1. Iranian Rial (IRR)

The Iranian Rial continues to rank as one of the weakest currencies globally due to longstanding economic sanctions, high inflation rates, and geopolitical conflicts. Despite Iran having significant oil reserves, its currency struggles because of limited international trade access. In 2025, the Rial’s exchange rate against the USD has remained highly unfavorable, showcasing the dire economic conditions.

2. Venezuelan Bolívar (VES)

Venezuela’s economic crisis, primarily driven by hyperinflation and political instability, has left the Bolívar in shambles. Studies indicate that inflation in Venezuela exceeds 1,000% annually, making basic goods unaffordable for citizens. The Bolívar embodies a severe loss of buying power in the global market.

3. Zimbabwean Dollar (ZWL)

Known for its history with hyperinflation, Zimbabwe continues to face currency devaluation issues in 2025. The nation’s economic dependency on agriculture and recent droughts have further weakened the Zimbabwean Dollar. Reports show that various goods and services increasingly rely on USD or South African Rand within Zimbabwe’s economy, bypassing the national currency.

4. Sierra Leonean Leone (SLL)

Sierra Leone’s Leone has experienced a sharp decline in 2025 due to low export revenue and reliance on import goods. A lack of industrialized production and a dependency on foreign aid has kept its currency underperforming. The Leone's exchange rate against the USD reveals the country’s enduring financial struggles.

5. Lebanese Pound (LBP)

The economic crisis in Lebanon has led to significant devaluation of the Lebanese Pound. The collapse of banking systems and political unrest are central to this decline. In 2025, the LBP has lost much of its purchasing power, making imported products unaffordable for many Lebanese households.

6. Sudanese Pound (SDG)

The Sudanese Pound faces serious inflationary pressures in 2025, driven by political unrest and conflict. Despite attempts to stabilize the economy following recent peaceful agreements, external debts and a struggling GDP have limited currency recovery.

7. Guinean Franc (GNF)

Guinea’s Franc is another currency struggling with devaluation. The nation’s economic reliance on mining exports, such as bauxite, has been impacted by global demand fluctuations. Export dependency, coupled with low infrastructure development, has constrained Guinea’s economic progress in 2025.

8. Uzbekistani Som (UZS)

While Uzbekistan has pursued economic reforms, the Som continues to face devaluation due to limited foreign investment and high trade deficits. The country’s agriculture dominance within its GDP and slow industrialization hinder stabilization for the UZS.

9. Ugandan Shilling (UGX)

The Ugandan Shilling continues to suffer from weak performance in international markets due to low export variety. Reliance on agricultural products and inconsistent policies has restrained its GDP growth and currency stability.

10. Congolese Franc (CDF)

In the Democratic Republic of Congo, the Franc has consistently ranked among the lowest-value currencies. Political instability, a lack of infrastructure, and mismanagement of the nation’s natural resources contribute to this situation. In 2025, the CDF remains highly volatile compared to major global currencies.

11. Burundian Franc (BIF)

Burundi’s economy faces persistent challenges that have devalued its currency significantly. A lack of industrial progress, combined with heavy reliance on agriculture and foreign aid, keeps the Franc weak against stronger currencies like the USD.

12. Syrian Pound (SYP)

The Syrian Pound suffers from years of conflict and economic disrepair. Sanctions and international isolation in 2025 have further reduced its viability as a competitive currency. Citizens face significant inflation and reduced purchasing power.

13. West African CFA Franc (XOF)

Used by multiple nations in West Africa, the CFA Franc faces limitations due to pegging with the euro and reliance on foreign reserves. While slightly stable compared to other currencies on the list, the XOF’s low value does not favor individual economic competitiveness within its nations.

14. Afghan Afghani (AFN)

Afghanistan has faced ongoing economic challenges, exacerbated by dependency on international aid and limited GDP growth. In 2025, the Afghani remains weak in the face of external policy issues and trade imbalances.

15. North Korean Won (KPW)

North Korea remains an isolated economy with virtually no GDP contribution to international markets. Its currency, the Won, is artificially controlled but poorly valued in real-world international trade calculations.

16. Iraqi Dinar (IQD)

While Iraq shows potential due to its oil exports, the Iraqi Dinar continues to struggle with inflationary pressures and restricted trade networks in 2025. Political instability plays a key role in keeping the Dinar’s valuation low.

17. Malawian Kwacha (MWK)

Malawi’s Kwacha faces considerable headwinds in 2025 due to agricultural reliance and poor infrastructure. Limited export revenue further dampens the currency’s strength against major international trade currencies.

18. Haitian Gourde (HTG)

The Haitian economy, plagued by natural disasters and social instability, has kept the Gourde weak. In 2025, low GDP output and high import dependency continue to harm its international exchange rate.

19. Yemeni Rial (YER)

Yemen’s prolonged conflict and humanitarian crisis have left its economy fractured. The Yemeni Rial remains one of the weakest currencies globally in 2025 as dependency on aid and lack of production prevail.

20. Tajikistani Somoni (TJS)

Tajikistan’s Somoni faces challenges stemming from limited industrialization and dependency on remittances from overseas workers. In 2025, the currency has struggled to gain traction amid broader economic uncertainty.

Impacts of Weak Currencies on Nations

Low currency valuations lead to severe economic challenges for nations. High import costs create inflationary pressures, reducing residents' purchasing power. Weak currencies also deter foreign investment and limit economic growth, as shown by GDP performance metrics for underperforming economies.

The Role of External Debt in Currency Weakness

Countries with substantial external debt often face problems maintaining currency stability. Such debts require repayments in strong currencies, exacerbating the difficulty of raising local currency value. Examples like Sudan and Venezuela highlight this issue prominently.

Future Trends and Predictions for Weak Currencies

As 2025 progresses, currency weakness could persist or worsen for nations facing political instability, high inflation, and dependency on imports. Some countries might see recovery with effective policies and strategic investments, highlighting the dynamic nature of global currency performance.