Africa’s Currencies Under Siege: The 15 Weakest Units by Value 2025

Africa’s Currencies Under Siege. Across the African continent, central banks and finance ministries continue to grapple with a persistent erosion of monetary value. September 2025 data confirms that the local currencies in at least fifteen nations are demanding hundreds, if not tens of thousands, of local units to exchange for a single US Dollar, signaling profound economic vulnerabilities and structural instability.

A weak currency, measured by its nominal value against the US Dollar, often precipitates a vicious cycle of economic distress. It increases the cost of imports fueling inflation and crushing household purchasing power—while making foreign debt repayment dramatically more expensive, restricting essential budget spending on infrastructure and social services.

Here is a closer look at the 15 African currencies struggling the most on the global exchange rate markets.

The Top 15 Weakest Currencies in Africa

The ranking below is based on the number of local currency units required to equate to one US Dollar, reflecting the currency’s nominal weakness as of September/October 2025:

Rank	Country	Currency	Local Units per $1 USD (Approx.)	Key Economic Pressure
1	São Tomé & Príncipe	Dobra (STN)	22,282	Heavy reliance on external aid; import dependency.
2	Sierra Leone	Leone (SLE)	20,970	Post-conflict recovery challenges; high inflation and debt.
3	Guinea	Franc (GNF)	8,680	Over-reliance on mining exports; political instability.
4	Madagascar	Ariary (MGA)	4,545	Widespread poverty; political volatility; reliance on commodity exports.
5	Uganda	Shilling (UGX)	3,503	Fiscal deficits; inflation pressure; agricultural dependency.
6	Burundi	Franc (BIF)	2,968	Political instability; limited export diversification (coffee/tea).
7	DR Congo	Franc (CDF)	2,811	Persistent armed conflict; corruption; dependence on resource exports.
8	Tanzania	Shilling (TZS)	2,465	Trade imbalances; reliance on agriculture; high import costs.
9	Malawi	Kwacha (MWK)	1,737	Import dependency; high inflation; low foreign reserves.
10	Nigeria	Naira (NGN)	1,490	FX shortages; oil price volatility; continuous structural reforms.
11	Rwanda	Franc (RWF)	1,448	High import dependency; landlocked geography; trade deficit.
12	Angola	Kwanza (AOA)	912	Extreme oil dependency; inflation; recent currency reforms.
13	Comoros	Franc (KMF)	419	Small, isolated economy; reliance on French support and remittances.
14	West African CFA Zone	Franc (XOF)	558	Fixed peg to Euro limits flexibility; susceptible to global commodity price swings.
15	Central African CFA Zone	Franc (XAF)	558	Fixed peg to Euro; stability maintained by external guarantees, not market fundamentals.

The Underlying Causes of Nominal Weakness

While the figures reflect the nominal exchange rate, the underlying causes are complex and varied:

• Political Instability and Conflict: In countries like Sierra Leone, DR Congo, and Guinea, a history of political unrest, poor governance, and institutional weakness severely undermines investor confidence. Foreign investors, fearing capital loss, withdraw funds, reducing foreign exchange supply and further weakening the local unit.
• Dependence on Imports: For nations such as Malawi and Tanzania, a high reliance on importing essential goods from machinery to fuel means that any change in global commodity prices translates directly into higher costs and increased demand for the US Dollar, which the local currency struggles to meet.
• Monetary Policy and Pegs: The West African CFA Franc (XOF) and Central African CFA Franc (XAF) zones maintain a fixed peg to the Euro (and by extension, the USD), which grants them exceptional stability but results in a low nominal exchange rate by design. Conversely, the Nigerian Naira has seen its volatility surge due to structural reforms aimed at achieving a market-determined rate.
• External Debt Burden: A weakened local currency immediately makes debt denominated in foreign currency (like the USD) exponentially more expensive to service. This strain on national budgets limits the state’s ability to invest in growth, trapping these economies in a cycle of debt and devaluation. FOR MORE INFORMATION, I RECOMMEND SONGBUX.