devaluation

noun

de·​val·​u·​a·​tion (ˌ)dē-ˌval-yə-ˈwā-shən 

-yü-ˈā-

1

: an official reduction in the exchange value of a currency by a lowering of its gold equivalency or its value relative to another currency

2

: a lessening especially of status or stature : decline

Examples of devaluation in a Sentence

Recent Examples on the Web

The devaluation of the dinar means that each dollar earned from oil exports brings in more dinars, helping the Iraqi government cover domestic spending. — ABC News, 7 Oct. 2026

Rewards are subject to inflation through consistent devaluations, so in that sense, now is always the best time to use your credit card and loyalty rewards. — Jason Stauffer, CNBC, 7 Oct. 2026

Poverty surged to nearly 53% in the first half of 2024 after his government’s devaluation of the peso and sweeping spending cuts left most Argentines unable to afford a basket of basic goods. — Débora Rey, Los Angeles Times, 25 Sep. 2026

The fall in import demand, driven by inflation and currency devaluation, is evidence of a deeper economic crisis. — Esfandyar Batmanghelidj, Foreign Affairs, 8 Sep. 2026

Word History

First Known Use

1914, in the meaning defined at sense 1

Phrases Containing devaluation

• pre-devaluation

Rhymes for devaluation

• abdication
• aberration
• abjuration
• abnegation
• abrogation
• acceptation
• acclamation
• acclimation
• accusation
• activation
• actuation
• acylation

Legal Definition

devaluation

noun

de·​val·​u·​ation (ˌ)dē-ˌval-yə-ˈwā-shən 

1

: an official reduction in the exchange value of a currency by a lowering of its gold equivalency or its value relative to another currency

2

: a lessening of the value of something (as an asset)

portfolio devaluation