Currencies reflect the health of a nation’s economy, and several African nations continue to grapple with severe depreciation. From dependence on commodity exports to political unrest and chronic inflation, each case tells a different story of economic struggle.
African currency was originally formed from basic items, materials, animals and even people available in the locality to create a medium of exchange. As African countries achieved restoration or independence during the 20th century, some retained the new denominations that had been introduced, though others renamed their currencies for various reasons.
This article examines what are considered to be the lowest currencies in Africa, highlighting the structural challenges behind their weakness and the risks they face in global markets. It is essential to understand that a high nominal value does not always equate to economic power or stability. Some currencies with a lower nominal value (like the CFA Francs) are backed by stronger monetary systems and greater stability.
Currency weakness in Africa stems from many different pressures, including inflation, external debt, reliance on imports, and fragile governance. Each country faces a unique mix of structural challenges that influence exchange rate performance and investor confidence.
In the sections below, we look at the top 10 currencies that are considered the weakest in Africa, exploring the economic and political forces that drive depreciation. To provide consistency, the US dollar serves as the benchmark that offers direct comparisons of how these currencies trade on the global market.
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*The rates are effective on the 17th of September, 2025.
Historical Context of African Currencies
In pre-colonial times, many objects were sometimes used as currency in Africa. These included shells, ingots, gold (gold dust and gold coins (the Asante)), arrowheads, iron, salt, cattle, goats, blankets, axes, beads, and many others.
During colonial times (roughly from 1680 to 1990) the respective colonial powers introduced their own currencies to their colonies or produced local versions of their currencies. These included the Somali shilling; the Italian East African lira; and the African franc (in Francophone countries). Many post-colonial governments have retained the name and notional value unit system of their prior colonial era currency.
A different trend was seen when the predominant foreign power relationship changed, causing a change in the currency: the East African rupee (from long-term trade with Arabia and India) was replaced by the East African shilling after the British became the predominant power in the region. Other countries threw off the dominant currency of a neighbour: the Botswana pula replaced the South African rand in Botswana in 1976.
Many African countries change their currency's appearance when a new government takes power (often the new head of state will appear on bank notes), though the notional value remains the same. Also, in many African currencies there have been episodes of rampant inflation, resulting in the need for currency revaluation (e.g. the Zimbabwe dollar).
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In some places there is a thriving street trade by unlicensed street traders in US dollars or other stable currencies, which are seen as a hedge against local inflation. In many rural areas there is still a strong bartering culture, the exchanged items being of more immediate value than official currency (following the principle that one can eat a chicken, but not a coin).
There is a proposal for a monetary union of the entire African continent, which would call for the creation of a new unified currency, similar to the euro. The hypothetical currency is sometimes referred to as the afro or afriq.
Top 10 Weakest Currencies in Africa
Top 10 Highest and Strongest Currencies in Africa | Valuable Currencies
Here’s a detailed look at the top 10 weakest currencies in Africa, based on their exchange rates as of September 17, 2025:
- Sierra Leonean Leone (SLL)
- Exchange rate: 1 SLL = 0.0000437 USD
- The Sierra Leonean leone is cited as the weakest currency in Africa.
- The leone has been negatively affected by high inflation, economic weaknesses, and substantial debt burdens.
- Since 1 July 2022, the currency has been abbreviated as the SLE due to the redenomination of the old leone (SLL) at an exchange rate of 1,000 SLL to 1 SLE.
- The current rate of 1 SLE to USD is 0.0437.
- Guinean Franc (GNF)
- Exchange rate: 1 GNF = 0.000115 USD
- Guinea, like some other countries in the region, experiences economic difficulties.
- Guinea has large reserves of natural resources, including bauxite, but faces challenges in fully capitalising on them.
- Political instability hinders economic development.
- Guinea’s economy is susceptible to external shocks like fluctuations in global commodity prices, particularly in the mining sector.
- In addition, security concerns, including border disputes and regional tensions, disrupt economic activities and lower investor confidence.
- Malagasy Ariary (MGA)
- Exchange rate: 1 MGA = 0.000227 USD
- The Malagasy ariary is the currency of Madagascar.
- It is a weak currency due to a number of factors, including import dependency and high inflation.
- Madagascar’s economy is in crisis, and the national currency continues to depreciate at an alarming rate.
- The country experiences political instability.
- Economic growth is hampered by limited foreign investment, a weak business climate, and infrastructure development problems.
- Ugandan Shilling (UGX)
- Exchange rate: 1 UGX = 0.000285 USD
- Uganda’s economy faces multiple challenges, particularly its dependence on agriculture and the slow pace of industrialisation.
- The dependency on agriculture makes the country especially vulnerable to fluctuations in commodity prices and weather conditions.
- Uganda generally runs a negative trade balance, importing more than it exports.
- This puts pressure on the exchange rate of the Ugandan shilling.
- Burundian Franc (BIF)
- Exchange rate: 1 BIF = 0.000335 USD
- Burundi’s economy is dealing with numerous challenges.
- The country is not economically diversified; its economy is based mainly on agriculture.
- The export base of Burundi is limited and concentrated in a few key commodities, gold, coffee, and tea.
- The country relies significantly on foreign aid.
- The BIF currency rate is impacted by recurring political instability.
- These crises have a detrimental impact on economic stability and erode confidence in the BIF.
- Congolese Franc (CDF)
- Exchange rate: 1 CDF = 0.000361 USD
- The Congolese franc is used in the Democratic Republic of Congo (DRC).
- Similar to Tanzania and Rwanda, the DRC is heavily dependent on imports.
- The country is rich in natural resources but struggles with corruption and conflicts, which restrict economic development.
- Political instability plays a significant role in the country’s economic issues.
- The currency’s exchange rate is also influenced by foreign exchange reserves, which remain low.
- Tanzanian Shilling (TZS)
- Exchange rate: 1 TZS = 0.000405 USD
- Economic development in Tanzania is uneven, with challenges such as corruption, underdeveloped infrastructure, and limited industrialisation.
- Tanzania is dependent on imports, which contributes to the country’s weak economy and currency.
- Despite the recent robust expansion in exports, primarily fueled by the resurgence of tourism, the increased growth in imports driven by domestic demand, coupled with escalating international commodity prices, led to a broadening of the current account deficit (CAD).
- Malawian Kwacha (MWK)
- Exchange rate: 1 MWK = 0.000577 USD
- Malawian kwacha is the national currency of Malawi, which is a landlocked country in southeastern Africa.
- Malawi’s economy depends on agriculture, which employs more than 80% of the population.
- Low agricultural productivity and limited commercialisation lead to stagnant income growth for most Malawians.
- The country struggles with limited diversification and is vulnerable to external shocks like weather events.
- Nigerian Naira (NGN)
- Exchange rate: 1 NGN = 0.00067 USD
- The naira has lost significant value following multiple devaluations and the removal of fuel subsidies in 2023-24.
- Dollar shortages, a large import bill, and heavy debt servicing costs keep pressure on the currency.
- As of August 2025, inflation remains above 20%, eroding purchasing power.
- Despite reforms aimed at unifying exchange rates and boosting investment, foreign currency scarcity and structural reliance on oil revenues continue to undermine the country’s stability.
- Rwandan Franc (RWF)
- Exchange rate: 1 RWF = 0.000691 USD
- Rwanda has made some progress in recent years, but its currency, the Rwandan franc, continues to face challenges.
- Rwanda is working to diversify its economy but faces obstacles such as its landlocked geography and dependence on agriculture.
- The country relies heavily on imports, which makes it vulnerable to fluctuations in the global market.
- The depreciation of the Rwandan franc fuels inflationary pressures as import prices surge.
- Rwanda struggles with persistent shortages of foreign exchange reserves, which also limit economic growth.
Strongest Currencies in Africa
While many African currencies face challenges, some demonstrate resilience and stability. Here are a few examples of stronger currencies in Africa:
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- Tunisian Dinar (TND): Tunisia is considered to have Africa’s strongest currency, with the Tunisian dinar trading at about 1 TND = 0.34 USD. Despite economic challenges, relative policy stability and stronger demand for the dinar support its higher valuation compared with other African currencies in 2025.
- Libyan Dinar (LYD): Despite political uncertainty, the Libyan Dinar remains one of the strongest currencies in Africa. Libya has limited the circulation of foreign exchange, helping prevent depreciation.
- Moroccan Dirham (MAD): The Moroccan Dirham is known for its resilience and gradual appreciation. Morocco’s central bank manages a flexible peg system, allowing the Dirham to adjust while maintaining overall stability.
- Ghanaian Cedi (GHS): The Ghanaian Cedi ranks among the top African currencies by value and is recognized for its comeback after past depreciations.
- Seychelles Rupee (SCR): Despite its small population, the Seychelles Rupee is a high-performing currency. The island nation’s economy is heavily reliant on tourism, and recovery post-COVID has helped restore foreign reserves.
- South African Rand (ZAR): The primary currency in South Africa today is the South African rand (ZAR). South Africa’s exchange rate is seen as one of Africa’s strongest, currently at around 0.0576 USD per 1 ZAR, and is closely tied to gold and resource exports.
- Eritrean Nakfa (ERN): The Eritrean Nakfa stands out due to its fixed exchange rate system. The Nakfa's stability is rooted in state policies that prioritize self-reliance and debt control.
Additional Currencies and Economic Factors
Several other African currencies have unique characteristics and economic influences:
- West African CFA Franc and Central African CFA Franc: The West African CFA Franc is used by eight countries in the West African Economic and Monetary Union (WAEMU). The Central African CFA Franc is the official currency of six countries within the Central African Economic and Monetary Community (CEMAC).
- Kenyan Shilling (KES): The Kenyan Shilling is a key currency in East Africa.
- South African Rand (ZAR): The South African Rand is Africa’s most widely traded currency.
- São Tomé and Príncipe Dobra (STN): Its value reflects São Tomé’s reliance on cocoa, evolving tourism, and nascent oil industry.
- Zambian Kwacha (ZMW): The Zambian Kwacha has shown stability following recent central bank measures.
- Mauritanian Ouguiya (MRU): Despite being non-divisible by decimal units, Mauritania’s reliance on fishing, agriculture, and mining, along with IMF/World Bank support, maintains moderate stability.
- Egyptian Pound (EGP): Under an IMF-supported reform program, Egypt’s currency was recently devalued from its previous fixed level.
FAQ
Which Currency Is Considered the Weakest in Africa in 2025?
The Sierra Leonean leone is often labelled as the weakest currency in Africa in 2025, trading at roughly 1 SLL = 0.0000438 USD. Persistent inflation, high debt, and structural vulnerabilities have led to a perception of being the least valuable currency in Africa, despite government efforts to stabilise finances and rebuild confidence.
Which Country Is Believed to Have the Highest-Value Currency in Africa?
Tunisia is considered to have Africa’s strongest currency, with the Tunisian dinar trading at about 1 TND = 0.34 USD. Despite economic challenges, relative policy stability and stronger demand for the dinar support its higher valuation compared with other African currencies in 2025.
Which Currency Is Used in South Africa?
The primary currency in South Africa today is the South African rand (ZAR). The rand is a free-floating currency influenced by global commodity prices, investor sentiment, and domestic policy. South Africa’s exchange rate is seen as one of Africa’s strongest, currently at around 0.0576 USD per 1 ZAR, and is closely tied to gold and resource exports.
Which Country Is Considered the Richest in Africa?
According to Statista, South Africa is cited as Africa’s richest country by GDP size, supported by platinum, gold, coal, and diamonds exports.
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