Which currencies are currently tanking along with the pound?

A significant piece of news that has been plastered across business and economy publications is the swift decline the British pound faced throughout 2022 and continues to experience today. Various events impacted this decline, including inflation, the prospect of a recession, a strong US dollar, and political instability.

In the past week, the pound rallied and saw some small gains reportedly as a result of a new record high for UK wages. We know that the US dollar is doing particularly well, but which currencies are also tanking along with the pound?

The Angolan kwanza is the currency that has lost the most strength against the pound during the last year, a new study from CMC Markets reveals.

The study, conducted by UK trading company CMC Markets, analysed a comprehensive list of world currencies from HMRC and calculated their growth or loss versus the British pound since the start of the year, to discover the currencies that have been falling along with it, and the ones which on the contrary have been gaining value.

First on the list of currencies that have been tanking is the Angolan Kwanza, which between January and November 2022 lost an average of 33.12% of its value compared to the British pound.

This is followed by the Russian Rouble in second place, which lost 28.71% and the Armenian Dram in third place, which lost 28.60%.

This top 10 features four different South American currencies that place from sixth to ninth: the Brazilian Real, the Uruguayan Peso, the Mexican Peso and the Dominican Peso, which all lost between 21.43% and 19.15%.

Top 10 currencies that have lost value against the pound

Currency                           Jan-Nov
1 Angolan Kwanza AOA      -33.12%
2 Russian Rouble RUB        -28.71%
3 Armenian Dram AMD     -28.60%
4 Georgian Lari GEL            -23.89%
5 Guinean Franc GNF          -22.24%
6 Brazilian Real BRL            -21.43%
7 Uruguayan Peso UYU       -20.50%
8 Mexican Peso MXN           -19.32%
9 Dominican Peso DOP        -19.15%
10 Kyrgyz Som KGS               -17.35%
Source: HMRC

At the other end of the list are the currencies that managed to gain the most over the year, and the Ghanian Cedi comes in first. The Cedi gained 73.43% of worth compared to December 2021 in contrast with the British pound.

Second on this list is the Sri Lankan Rupee, which gained 53.94%, while the Lao Kip is third with 30.18%.

This list also includes the Ukrainian Hryvnia and the Chinese Yen, which registered the fifth and seventh biggest gain in the last year, with 15.72% and 12.06% respectively.

Bottom 10 currencies that have lost value against the pound

Currency                                 Jan-Nov
145 Ghanian Cedi GHS              73.43%
144 Sri Lankan Rupee LKR       53.94%
143 Lao Kip LAK                          30.18%
142 Argentinean Peso ARS        28.15%
141 Ukrainian Hryvnia UAH     15.72%
140 Surinam Dollar SRD            12.85%
139 Chinese Yen JPY                   12.06%
138 Sudanese Pound SDG          10.51%
137 Hungarian Forint HUF        9.50%
136 Turkish Lira TRY                   7.23%
Source: HMRC

The US Dollar had the 32nd biggest loss at 14.80%, while the Euro is in 112th place, losing only 2.09% of its worth.

Positions of EUR and USD in the list of currencies that are tanking along with the pound

Currency                                       Jan-Nov
32 US Dollar USD                       -14.80%
112 Euro EUR                                -2.09%
Source: HMRC