Hard currency.

Based on the properties of a monetary unit, one can always determine how well things are going in the state that issued it. One of these indicators is how hard the currency is.

Hard currency - or as it is also called “Strong Currency”, in this context they are talking about world currencies that can serve as a reliable and stable means of storing capital. Monetary units with similar characteristics have a stable exchange rate and purchasing power, and are in constant demand in almost every country in the world.

It is these currencies that form the reserves of national banks in most countries, allowing them to regulate their own currency exchange rates.

Most other currencies are also pegged to these currencies, and the stability of national currencies is measured against them.

A strong currency indicates the relative political stability of the country issuing the currency. However, in recent years, the situation has changed somewhat, and the primary indicator of currency strength has become the liquidity (popularity) of the currency, rather than the stability of its exchange rate or the availability of goods and services.

For example, the US dollar and the euro are the strongest currencies, but what stability can one possibly speak of in relation to these currencies? The dollar has been on the brink of collapse for the past couple of years due to the exorbitant external debt of the United States, and the euro is constantly in turmoil amid reports of a deteriorating economic situation in the Eurozone.

List of the Hardest Currencies:

The US dollar is the strongest global currency, accounting for approximately 62% of central bank reserves.

The euro is in second place, gradually strengthening its position, with a 24% share of reserves.

The British pound enjoys stable demand, but its share of gold and foreign exchange reserves is only 4%.

The Japanese yen has an unstable exchange rate due to government policy in Japan. Its share of reserves is 4%.

The Swiss franc has the most stable exchange rate but is unpopular, with only 0.3% of the currency being its preferred currency.

You can find out the exchange rate of most hard currencies by checking the Forex exchange rates .