About This Currency Converter
Currency exchange rates tell you how much one country's currency is worth in another's. The rates displayed here are mid-market rates — the midpoint between the buy and sell prices on global currency markets. These rates fluctuate continuously based on international trade flows, interest rate decisions by central banks, inflation data, and investor sentiment.
Why Exchange Rates Change
Exchange rates are driven by supply and demand for each currency on global foreign exchange (forex) markets — the largest financial market in the world, trading over $7 trillion per day. When a country raises interest rates, its currency typically strengthens because foreign investors seek higher returns. Conversely, high inflation or political instability tends to weaken a currency as confidence erodes. Major currencies like the US Dollar, Euro, British Pound, and Japanese Yen can shift meaningfully within a single day on significant economic news.
Mid-Market vs. Retail Rates
The rate you see here is the mid-market rate, which is the fairest reference point for comparing currencies. Banks and money transfer services typically charge a rate that is 1–5% worse than mid-market, plus fees. When exchanging large amounts, it is worth comparing specialist services rather than accepting a bank's default rate. For travel, airport kiosks consistently offer the worst rates — withdrawing local currency from an ATM abroad is almost always cheaper.
Common Conversion Uses
Currency converters are used for international travel budgeting, online shopping from foreign retailers, freelance invoicing across borders, tracking the cost of overseas investments, and calculating international wire transfer amounts. Understanding the current rate before any conversion helps ensure you receive fair value and can spot when a provider's offered rate is uncompetitive.