What is "soft currency"?

Answer by  Milette4 (900)

Also known as 'weak currency'. It has a widely fluctuating value. If a country has a soft currency, other countries are not keen to do exchanges and people are careful to invest in it.

Answer by  tamkees (3203)

Soft currency is money that is not easy to convert because of unrealistic exchange rates or because the money has the potential to depreciate rapidly. Hard currency is just the opposite. For instance, Mexican pesos are currently soft currency, while the Euro and the US dollar are considered hard currency.