The World's Most Devalued Currencies

The value of a currency is one of the most important indicators of a country’s economic stability. A strong currency reflects a healthy economy, while a weak one often signals inflation, political instability, or financial mismanagement. This article highlights the top five most devalued currencies in the world as of 2025.

1. Lebanese Pound (LBP) — 1 USD ≈ 90,000 LBP
Lebanon has been in deep financial crisis since 2019. A collapsing banking system, political gridlock, and corruption led to a more than 90% loss in currency value. A significant gap between official and black-market rates has eroded public trust. The central bank has struggled to stabilize the currency for years.

2. Iranian Rial (IRR) — 1 USD ≈ 42,000 IRR (official)
Iran’s economy suffers under longstanding US and EU sanctions. While the official exchange rate is around 42,000 IRR, the black-market rate exceeds 400,000. Inflation is rampant, and the rial continues to depreciate.

3. Vietnamese Dong (VND) — 1 USD ≈ 25,500 VND
Despite its low exchange rate, Vietnam’s economy remains relatively stable. The dong’s low value is intentional, serving as a tool to boost exports through competitive pricing.

4. Lao Kip (LAK) — 1 USD ≈ 21,500 LAK
Laos, a developing country, faces growing inflation and foreign debt. Heavy borrowing in energy and infrastructure sectors has weakened the kip.

5. Sierra Leonean Leone (SLL) — 1 USD ≈ 23,000 SLL
Sierra Leone is one of the poorest countries in Africa. Years of civil war and dependence on exports have significantly devalued the leone.

What does currency devaluation mean?
It's not just about higher numbers — it reflects falling purchasing power, pricier imports, and reduced public confidence. Devaluation is often accompanied by:

▪️Soaring inflation
▪️Declining foreign reserves
▪️Widespread black-market trading
▪️Dollarization of the economy

Note: A low exchange rate doesn’t always indicate a weak economy. In export-driven nations, it can be a strategic advantage. Read 'Zamin' on Telegram!