Most Valueless Currencies in the World


How would you like to be a billionaire? It's easy, just move to thecountries below.
Zimbabwe as an example, this country's entire population of over12,000,000 are billionaires. In fact, many are trillionaires, oreven quadrillionaires. in case you're unfamiliar with "quadrillions," a quadrillion is a million billion, or a 1 followed by 15 zerosTheleast valued currency unit is the currency in which a single unitbuys the least number of any given other currency or the smallestamount of a given good. Most commonly, the calculation is madeagainst a major reserve currency such as the euro (EUR) or theUnited States dollar (USD
As Americans worry about the rate of inflation exceeding 4 percent,we should consider Zimbabwe, where the inflation rate broke theshocking 100,000 percent mark and the country released a 250million-dollar note (now valued below $4 on the black market). ButZimbabwe's currency is hardly the only one inflated beyondreason.Last month, a pint of milk (if you were lucky enough to findone in the store) cost Z$3 billion, a single egg, Z$4 billion. Apound of margarine cost Z$25 billion and a pack of 10 cookies costsZ$19 billion. That was last month. Prices are even higher today.

500,000-dong note. U.S. value: $31.37An early-1980s U.S. embargo hobbled exports, leading to pricecontrols and the printing of excess currency.Early this month, the Vietnamese dong rate in the black market hasstrengthened towards the official level after the governmentreleased more dollars into the economy and cracked down on statebanks' currency transactions, which traded at 16,849.50 per dollar.


100,000-rupiah note. U.S. value: $11.05During the 1997 Asian financial crisis, the rupiah lost 80 percentof its value within months, sparking riots in Jakarta (and soonending President Suharto's 32-year rule). From the years 2000 to2008, the exchange rate has generally been between 8,000 and 11,000rupiah to one United States dollar. As of June 2008, one UnitedStates dollar is worth approximately 9,300 Indonesian rupiah.


50,000-rial note. U.S. value: $5.35Since the 1979 revolution, Iran's inflation rate has hovered around15 percent, thanks in part to ever-rising oil prices.Until 2002, Iran's exchange rate system was based on a multi-layeredsystem, where state and para-state enterprises benefited from thepreferred rate (1750 rial for $1) while the private sector had topay the market rate (8000 rial for $1), hence creating an unequalcompetition environment. However, in March 2002, the multi-tieredsystem was replaced by a unified, market-driven exchange rate.

São Tomé (Sao Tome)

50,000-dobra note. U.S. value: $3.47.This African island nation's economy is tied to the volatile priceof its chief export, cocoa, and is measured against its tradingpartners' robust euro.In late 2000, São Tomé qualified forsignificant debt reduction under the IMF-World Bank's HeavilyIndebted Poor Countries (HIPC) initiative. The reduction iscurrently being reevaluated by the IMF, due to the attempted coupd'etat in July 2003 and subsequent emergency spending.


10,000-franc note. U.S. value: $2.33In 2002, the mineral-rich African country refused to implementreforms mandated by the International Monetary Fund; foreign cashdried up, and the central bank printed too much money.From an average value of about 2500 Guinean francs to the poundsterling during the year 2000, the value of the currency has fallento a current level (April 2006) of about 8000 to the GBP and about4500 to the United States dollar.

50,000-Lao Kip. U.S. value: $5.73 Laos is a landlocked country withan inadequate infrastructure and a largely unskilled work force. Thecountry's per capita income in 2004 was estimated to be $1,900 on apurchasing power parity-basis.The Asian financial crisis, coupled with the Lao Government's ownmismanagement of the economy, resulted in spiraling inflation and asteep depreciation of the kip, which lost 87% of its value from June1997 to June 1999.


10,000-manat note. U.S. value: $1.92Since 1991 – the last year of existence of the USSR – up to 1993 –the last year of rouble zone existence – the rate of inflation wasmeasured in tens, hundreds and even thousands per cent per year.For the recent years the process of involving internal sources ofinvestment into the sphere of currency turnover and currency accrual
because of war.

No comments: