Africa is a continent that has many countries in it. And their currencies differs according to their value in other countries.
Many years ago, African medium of exchange was trade by batter. Where service is exchanged for goods and vice versa.
Africa today have evolved from trade by batter to cowries, coins to paper money.
Each country compete for the highest currency, hence, each tries to make her source of income to be stable.
For a country’s currency to be strong and rated as the highest, it must be volatile in the Forex market, cheaper to import goods, trades higher than ever.
When the price of a nation’s commodity increases, its currency tends to be stronger.
NOTE: There are some African currencies that is appended to other foreign currency.
To prove this saying, West African like Ivory Coast, Mali, Burkina Faso, Senegal, Togo and Guinea Bissau currencies are backed by French CFA franc. Again, Central Africa Republic, Equatorial, republic of Congo, Cameroon, Gabon, Chad has the Central African CFA franc as their medium of exchange.
Zimbabwe has its currency pegged to other foreign currencies until it was able to introduce the RTGS Dollars.
Let’s find out the country with highest currency. Ride with me
1: LIBYAN DINAR
This great African country appeared the first highest currency in Africa because the Central Bank Of Libya placed a restriction on the number of dollars sold to their citizens.
Another thing that made Libya to maintain the position as the highest currency in the whole of Africa is their strict monetary policy made by the same Central Bank of Libya. They discovered their natural gift and in their quest to make Libya great and also maintain their position in Africa, the country reopened their blockaded oil fields and ports and it enhanced their economy.
2: TUNISIA DINAR
In Tunisia today, Dinar is the legal tender used instead of franc.
This country was colonized by the French and so their currency was French franc.
In 1960, their currency was changed from franc to Dinar, DT for short.
Converting Dinar to other currency was not practiced in Tunisia and this made Dinar to be regarded as the highest currency.
Furthermore, the country boost with their Petroleum and Agricultural products, thus, making them an export country and stabilizing their economy.
Tunisia is the second highest currency in Africa.
3: GHANAIAN CEDI
The Ghana Cedi is the current legal tender used in Ghana.
Ghana’s cedi gained cognizance because their GDP per capital is the highest in the whole of West Africa.
They weren’t doing fine until their government replaced their currency to Cedi in 2007.
4: MOROCAN DIRHAM
In Western Sahara region, the Moroccan Dirham is the only legal tender used. It is the fourth highest currency in Africa, thanks to its defacto state
The exchange rate against the US dollars is about 1 Moroccan Dirham is equal to 0.103182 USD.
The Moroccan Dirham cannot be exported.
5: BOTSWANA PULA
Botswana Pula is the monetary unit in Botswana.
This currency is traded on by traders on the Johannesburg stock exchange because it is the largest stock excited in Africa.
In 1970s, the pula and Rand are on the same Exchange rate and valuation.
This country enjoys stable economy and stable democracy and this made their currency to be valued and placed as the fifth highest currency in Africa.
6: ZAMBIAN KWACHA
Kwacha is the legal tender for Zambia.
When it comes to natural resources, Zambia is blessed with Copper. And this made them to be the highest Copper producer in Africa.
Thus, good economy. Anything that has advantage, equally has a disadvantage.
Yes they are blessed with Copper, which promoted their economy, hence it’s a commodity, and it is prone to volatility.
When the price of Copper is stable in the global copper market, Zambia rejoices over their valuable currency but when it is the opposite that is volatile, it produces negative results.
7: SEYCHELLES RUPEE
The Seychelles Rupee is the monetary unit used in Seychelles.
It took the seventh place on our list of highest currency in Africa.
This was as a result of their hospitality towards foreigners who wish to invest or build a structure. This yields them more money.
Again, their government was able to manage the money well, thereby placing a strict monetary policy.
The government created a good market economy.
The country promoted fishing and farming which in return yields more money to them.
Good management of resource by their government is key to their success.
8: SOUTH AFRICAN RAND
South Africa is the major producer and supplier of Gold in Africa. For years now, the power has decreased because of the development throughout the world.
This have been their major source of income.
It made their ZAR to be valued greatly.
It is subjected to price fluntuation. Reason is because it’s linked to the rest of the world. As a matter of fact, it is used in Kenya and their political landscape is not stable.
Nevertheless, it is among the highest currency in Africa.
Having said that, most countries in South Africa have their currencies in Rand at the rate of 1.
This countries the Lesotho Loti, the Namibia dollar, and Swazi Lilangeni has their currencies in Rand at the same rate.
Their value of their currencies are measured by the value of ZAR which is 14.87 units by USD.
9: ERITREAN NAKFA
This country has a fixed exchange rate which means their currency does not float.
It’s the medium of exchange in Eritrea.
They took the ninth position in our list of top 10 highest currency in Africa.
10: EGYPTIAN POUND
This country gained cognizance immediately their government reduced the interest rate which gave room for both domestic and foreign investors to troop in and impact some change.
Again, it gained value because it was not officially used in Gaza and Sudan strip.
This article “Top 10 Highest Currency in Africa” has made some countries proud to be enlisted and is also a challenge for other countries to buckle up and make their citizens proud.
You as a citizen of those countries, tell us how you feel seeing your country in such number and what you intend to do in making your country a better place.