Expansion of Global Fiat Currencies
Currencies / Fiat Currency Nov 13, 2009 - 07:43 PM GMTBy: Mike_Hewitt
The expansion of global currencies has exceeded nine percent over the last year.
This essay investigates which currencies are contributing the most to this development. One hundred currencies from 95 sovereign nations and five monetary unions have been examined.
The following pie chart shows the relative value of global currencies (M0) when converted to USD for means of comparison.
The Euro, US Dollar, Japanese Yen and Chinese Renminbi (Yuan) make up nearly three-quarters of the value of all circulating currency. While smaller currencies may be increasing at a faster rate, even minor percentage increases in any of these dominant currencies significantly changes the overall global totals, as evidenced by comparing the two tables below:
Twenty Fastest Growing Currencies in Relative Terms
| Rank | Country | Currency Code | Y-O-Y Increase in M0 | Date | XRATE | ||
|---|---|---|---|---|---|---|---|
| Billions | % | US$ Billions | |||||
| 1 | Iran | IRR | 77855.0 | 97.4% | 8.2 | Mar-09 | 0.00010 |
| 2 | Iceland | ISK | 7.4 | 58.7% | 0.1 | Aug-09 | 0.00826 |
| 3 | Angola | AON | 46.6 | 47.1% | 0.6 | Apr-09 | 0.01337 |
| 4 | Tajikistan | TJS | 0.4 | 37.9% | 0.1 | Jul-09 | 0.22780 |
| 5 | Iraq | IQD | 5182.2 | 35.1% | 4.5 | Feb-09 | 0.00088 |
| 6 | Venezuela | VEF | 4.4 | 29.6% | 2.1 | Aug-09 | 0.46680 |
| 7 | UAE | AED | 7.7 | 26.5% | 2.1 | Mar-09 | 0.27230 |
| 8 | Albania | ALL | 40.9 | 26.4% | 0.5 | Dec-08 | 0.01164 |
| 9 | Israel | ILS | 6.9 | 25.1% | 1.8 | Aug-09 | 0.26240 |
| 10 | Lebanon | LBP | 453.2 | 24.7% | 0.3 | Aug-09 | 0.00068 |
| 11 | Sudan | SDG | 1.2 | 21.8% | 0.5 | Mar-09 | 0.44180 |
| 12 | Turkey | TRY | 5.9 | 21.0% | 3.9 | Aug-09 | 0.67420 |
| 13 | Azerbaijan | AZN | 0.6 | 20.8% | 0.7 | Mar-09 | 1.24560 |
| 14 | Algeria | DZD | 277.3 | 20.6% | 3.8 | Mar-09 | 0.01354 |
| 15 | Tanzania | TZS | 225.8 | 19.8% | 0.2 | Mar-09 | 0.00077 |
| 16 | Libya | LYD | 1.0 | 19.3% | 0.4 | Jul-09 | 0.82450 |
| 17 | Suriname | SRD | 0.1 | 18.8% | 0.0 | Jun-09 | 0.37040 |
| 18 | Indonesia | INR | 1093.6 | 18.6% | 22.6 | Aug-09 | 0.02070 |
| 19 | Pakistan | PKR | 176.2 | 17.3% | 2.1 | Aug-09 | 0.01208 |
| 20 | Philippines | PHP | 62.5 | 16.3% | 1.3 | Jun-09 | 0.02079 |
Twenty Fastest Growing Currencies in Terms of US Dollars
| Rank | Country | Currency Code | Y-O-Y Increase in M0 | Date | XRATE | ||
|---|---|---|---|---|---|---|---|
| Billions | % | US$ Billions | |||||
| 1 | EU | EUR | 87.9 | 13.4% | 125.7 | Aug-09 | 1.43080 |
| 2 | US | USD | 81.4 | 10.5% | 81.4 | Aug-09 | 1.00000 |
| 3 | China | CNY | 355.5 | 11.5% | 52.1 | Aug-09 | 0.14660 |
| 4 | India | INR | 1093.6 | 18.6% | 22.6 | Aug-09 | 0.02070 |
| 5 | Iran | IRR | 77855.0 | 97.4% | 8.2 | Aug-09 | 0.00010 |
| 6 | UK | GBP | 4.2 | 8.4% | 6.8 | Mar-09 | 1.62750 |
| 7 | Japan | JPY | 551.6 | 0.8% | 5.9 | Aug-09 | 0.01070 |
| 8 | Brazil | BRL | 8.5 | 11.1% | 4.6 | Aug-09 | 0.54600 |
| 9 | Mexico | MXN | 60.5 | 14.9% | 4.6 | Aug-09 | 0.07560 |
| 10 | Iraq | IQD | 5182.2 | 35.1% | 4.5 | Aug-09 | 0.00088 |
| 11 | Switzerland | CHF | 4.6 | 11.5% | 4.3 | Feb-09 | 0.94410 |
| 12 | Turkey | TRY | 5.9 | 21.0% | 3.9 | Aug-09 | 0.67420 |
| 13 | Poland | PLN | 11.1 | 10.2% | 3.9 | Aug-09 | 0.35150 |
| 14 | Australia | AUD | 4.6 | 11.2% | 3.9 | Aug-09 | 0.84160 |
| 15 | Algeria | DZD | 277.3 | 20.6% | 3.8 | Aug-09 | 0.01354 |
| 16 | S Korea | KRW | 4462.7 | 15.6% | 3.6 | Mar-09 | 0.00082 |
| 17 | Canada | CAD | 3.4 | 6.8% | 3.2 | Aug-09 | 0.91660 |
| 18 | Hong Kong | HKD | 21.6 | 13.3% | 2.8 | Aug-09 | 0.12900 |
| 19 | Egypt | EGP | 14.9 | 13.3% | 2.7 | Aug-09 | 0.17970 |
| 20 | Taiwan | TWD | 85.6 | 10.8% | 2.6 | Jun-09 | 0.03042 |
I believe that the trend of countries flooding their monetary systems with ever-expanding amounts of fiat money will erode the value of their respective currencies. Dollardaze will continue to monitor the expansion of money supply and its resulting effects on purchasing power
By Mike Hewitt
http://www.dollardaze.org
Mike Hewitt is the editor of www.DollarDaze.org , a website pertaining to commentary on the instability of the global fiat monetary system and investment strategies on mining companies.
Disclaimer: The opinions expressed above are not intended to be taken as investment advice. It is to be taken as opinion only and I encourage you to complete your own due diligence when making an investment decision.
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