Middle East Powerhouse: Bahrain's Dinar Ranked Second Most Valuable in the World

TDT | Manama
Email : editor@newsofbahrain.com

Bahrain continues to solidify its position as a key player on the global economic stage, with the Bahraini dinar (BHD) ranking as the second most valuable currency worldwide. Here's a look at the world's top currencies as of January 10, 2025, and what makes them stand out:

1. Kuwaiti Dinar (KWD): $3.24
Topping the list is the Kuwaiti dinar, valued at approximately $3.24. Over the past year, it has fluctuated between $3.12 and $3.30. Kuwait's robust economy, driven by its vast oil reserves, boasts an unemployment rate of around 2%, reinforcing its currency’s dominance.

2. Bahraini Dinar (BHD): $2.65
The Bahraini dinar is a testament to the Kingdom of Bahrain's economic resilience and diversification. Valued at $2.65, the BHD has remained stable, trading between $2.54 and $2.65 over the past year. Its stability is largely due to being officially pegged to the U.S. dollar at a fixed rate of 2.659 to one.

Bahrain’s economy stands out for its diversity. While oil remains a significant contributor, the nation has made remarkable strides in banking, finance, and tourism. These industries, combined with strategic investments, have positioned Bahrain as a financial hub in the Gulf region.

3. Omani Rial (OMR): $2.59
The Omani rial, pegged to the U.S. dollar at a rate of 2.60, has traded within a narrow band of $2.49 to $2.60 over the past year. Oman’s currency reflects its stable economic policies and reliance on oil, though diversification efforts are ongoing.

4. Jordanian Dinar (JOD): $1.41
Jordan's economy faces unique challenges, including limited natural resources and the pressures of hosting a significant Syrian refugee population, which now accounts for 12% of its residents. Despite these hurdles, the Jordanian dinar, pegged to the USD at a rate of 1.41, holds its position among the world's strongest currencies. The economy relies heavily on tourism and substantial foreign aid, particularly from the U.S.

5. British Pound (GBP): $1.23
The British pound remains a symbol of economic influence, valued at $1.23. Despite Brexit-related challenges and recent economic headwinds, the U.K.’s diverse economy and London’s status as a global financial hub provide strong support for the currency.

Bahrain’s prominence on this list underscores its growing influence as a center for innovation and economic activity in the Middle East. With its strategic location, forward-thinking policies, and commitment to diversification, Bahrain exemplifies how Gulf nations are evolving beyond traditional oil-based economies.

As Bahrain continues to attract global investors and tourists, the Bahraini dinar's position as one of the world's most valuable currencies highlights the Kingdom’s enduring economic strength and stability.