The strength of a currency can be affected by the stability of a country's economy. In countries with high growth rates, products and services will be in greater demand. It will also serve greater job possibilities for people and a more appealing destination for money and investments. Moreover, the gross domestic product (GDP) refers to the most fundamental indicator of a country's economic health. In many circumstances, a robust GDP reading is a growth of 3% or more. In contrast, a growth of less than 3% or a negative reading indicates that the economy is on the verge of a recession. The definition of a recession pertains to two consecutive quarters of negative GDP growth.

Economic growth significantly impacts a country's economy in various ways. Firstly, it leads to increased employment opportunities as businesses expand to meet growing demand, reducing unemployment rates and improving living standards. With more people earning income, consumer spending rises, stimulating further economic activity and bolstering GDP. Additionally, economic growth often attracts foreign investment, injecting capital into the economy and fueling further expansion. As the economy grows, government tax revenues increase, allowing for investments in infrastructure, education, and healthcare, which can further enhance productivity and competitiveness. Moreover, sustained economic growth can lead to poverty reduction by providing opportunities for wealth accumulation and upward mobility. However, unchecked growth can also strain resources, exacerbate income inequality, and contribute to environmental degradation, highlighting the importance of sustainable development policies to ensure long-term prosperity for all citizens.