A petrocurrency is a currency of an oil-producing country whose oil exports as a share of total exports are sufficiently large enough that the currency’s value rises and falls along with the price of oil.

In other words, a petrocurrency appreciates when the oil price rises and depreciates when the oil price falls.

Given such a large share of exports, the currency will rise and fall in correlation with the price of oil.

If the share of oil and gas exports increases further, the link between oil prices and the exchange rate may become even stronger.

Oil-producing nations that rely heavily on oil export revenue include Saudi Arabia, Russia, Norway, Canada, and Mexico.

While the U.S. has recently cracked the top 5 in crude oil exports, it’s not considered a petrocurrency (yet).

Top Crude Oil Exports

Here are examples of petrocurrencies that have significant exposure to fluctuating oil prices.

  • Canadian dollar
  • Russian ruble
  • Columbian peso
  • Norwegian krone
  • Brazilian real

When oil falls, the following currency pairs usually rise:


Additional exporting countries whose currencies have a strong link to oil prices include Saudi Arabia, Iran, Iraq, Nigeria, and Venezuela.

You can keep track of individual petrocurrencies on MarketMilk™ through the Petrocurrencies watchlist.

Another way to monitor how petrocurrencies are doing is to watch tthe MarketWatch PetroCurrency Index (MWPC).

It measures the U.S. dollar against a basket of currencies weighted according to their share of global oil output as compiled by the U.S. Energy Information Administration.

Some familiar Middle Eastern names, including Saudi Arabia, and others have been excluded because monetary authorities in those countries keep their currencies closely pegged to the dollar.