What are the weakest currencies in the world?
Currencies are correct at the time of publication (21st August 2026)
Ever noticed how far your money goes on holiday in Vietnam? Or maybe you've wondered why a coffee apparently costs thousands of the local currency in some countries? It’s all to do with how strong (or weak) that currency is.
When you're travelling or sending money internationally, understanding how currency exchange works can help your money go further. In this guide, we'll specifically look at what makes a currency weak, explore the weakest currency in the world right now, and share some practical tips for spending abroad.
What makes a currency weak or strong?
Currency strength is essentially the ‘value’ of a currency. A stronger currency has a higher purchasing power (how much you can buy with it), and so will be in higher demand than a weaker one. This demand is what determines the currency’s strength.
And while the strength of a currency fluctuates constantly, it’s not entirely random. The supply and demand for a currency is driven by a few key factors:
Economic stability and growth: Countries with strong, growing economies attract investment, which increases demand for their currency.
Interest rates and inflation: Higher interest rates offer better returns for investors, boosting currency value. And low inflation helps maintain a currency's purchasing power.
Political stability: A stable government inspires confidence. Investors prefer safe environments, which supports a stronger currency.
Natural resources: Countries rich in resources like oil (for example, Kuwait, Oman) often have strong currencies due to high global demand for their exports.
Global demand for the currency: Currencies used widely in international trade, like the US dollar, naturally maintain higher strength due to constant demand.
Understanding these factors can help you make sense of exchange rates when sending money overseas. Especially when global events start affecting the demand for particular currencies.
What a weaker currency means for you
Just because a country has a ‘weaker’ currency than others, it shouldn’t put you off visiting. In fact, it could mean that your money goes further!
But it does mean you should be aware of a few things that might be different than when you’re spending in other countries. Some key things to look out for include:
Using cash and withdrawing from ATMs: In many countries with weaker currencies, cash is still preferred. So it's worth having some local currency to hand when you arrive. Be aware that ATMs may have daily withdrawal limits, and the local bank might charge a fee on top.
Some currencies can't be exchanged abroad: Some currencies are 'closed'. This means you can't buy or sell them outside their home country. Cuban Pesos, for example, aren't available to purchase before you travel. In these cases, take a widely accepted currency - like US Dollars or Euros- and exchange it on arrival.
Exchange rates can change: Because of economic instability, the value of some currencies can shift quickly. That can affect the cost of your trip while you're there.
Using your home currency abroad: In some tourist hotspots, locals may prefer visitors to pay in a stronger currency, especially for bigger purchases like hotels or tours. For everyday life at local markets, the local currency is usually expected.
The 10 weakest currencies in the world
When we talk about the weaker and stronger currencies, we're usually comparing them to strong benchmark currencies like the US Dollar (USD) or the British Pound (GBP). And at the time of writing, the Iranian Rial (IRR) and the Lebanese Pound (LBP) are among the lowest value currencies.
Here's a look at the 10 weakest currencies in the world, based on their approximate exchange rate against the GBP*.
Currency | Country | Approximate exchange rate against GBP (£1) | Why it's considered weak |
Lebanese Pound (LBP) | Lebanon | 66,800 LBP | A severe banking crisis, hyperinflation, rising unemployment, and prolonged political instability have collapsed the pound. |
Iranian Rial (IRR) | Iran | 746,000+ IRR | International economic sanctions and rampant inflation have severely eroded the rial's value. |
Vietnamese Dong (VND) | Vietnam | 19,000 VND | A deliberately managed float policy keeps the dong low to support export competitiveness. |
Laotian Kip (LAK) | Laos | 16,000 LAK | High public debt, limited foreign currency reserves, and heavy economic dependency weigh on the kip. |
Indonesian Rupiah (IDR) | Indonesia | 11,940 IDR | Persistent current account deficits and emerging market vulnerabilities keep the rupiah under pressure. |
Uzbekistani Som (UZS) | Uzbekistan | 9,478 UZS | A transitioning economy with limited financial integration into global markets constrains the som's value. |
Guinean Franc (GNF) | Guinea | 6,381 GNF | Heavy dependency on mining exports combined with poor governance and limited economic diversification. |
Paraguayan Guaraní (PYG) | Paraguay | 5,672 PYG | Agricultural export dependency and economic imbalances make the guaraní vulnerable to external shocks. |
Malagasy Ariary (MGA) | Madagascar | 3,433 MGA | Persistent poverty, political instability, and vulnerability to climate shocks undermine the ariary's value. |
Cambodian Riel (KHR) | Cambodia | 5,430 KHR | Heavy dollarisation limits the central bank's ability to manage monetary policy, while reliance on garment exports and tourism leaves the riel vulnerable to external shocks. |
If you're planning a trip, you can use Monzo's currency converter to check what your money is worth before you travel.
Hearing that a currency is ‘weak’ might sound scary at first, but it shouldn’t stop you from enjoying your travels, or sending money to friends and family abroad. It just means being aware of a few things as you spend and send money - and it might even mean you get a great deal.
Don’t forget, you can send money abroad with Monzo in 38 currencies globally in just a few taps.
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Questions? Answers.
What’s the weakest currency in the world right now?
The Iranian Rial (IRR) is widely considered the weakest currency in the world right now, followed closely by the Lebanese Pound (LBP).
Which countries are cheapest to visit?
Countries with weaker currencies often offer great value for money. Vietnam, Indonesia, and Laos are popular choices for travellers looking to stretch their budget further.
Is it worth exchanging money before I travel?
It depends where you're going. For widely available currencies, having some cash when you land can be handy. For closed currencies, you'll need to wait and exchange on arrival. Our guide on things to do before travelling has you covered.
What is the strongest currency in the world?
Curious about the other end of the scale? Check our article on the strongest currencies in the world to find out.
Can I use my Monzo card in countries with weak currencies?
Yes. Your Monzo card works anywhere Mastercard is accepted, and we don't charge fees for spending abroad.