The informal currency market in Cuba is once again exhibiting signs of volatility, with significant jumps in the exchange rates for the U.S. dollar (USD) and the euro (EUR), while the Freely Convertible Currency (MLC) remains steady. As of 8:00 a.m. on Monday, the dollar surged by two pesos from the previous day, reaching 370 CUP. Meanwhile, the euro increased by three pesos, climbing to 388 CUP, edging closer to the psychological threshold of 390.
In contrast, the MLC maintains its value at 260 CUP, following a slight recovery on Sunday. This morning's exchange rates highlight a persistent upward trend, particularly for the euro, as illustrated by a monthly evolution chart that shows a marked rise since mid-April.
Informal Exchange Rates in Cuba
Monday, May 19, 2025 - 08:00
Exchange rate for the U.S. dollar (USD) to Cuban pesos (CUP): 370 CUP
Exchange rate for the euro (EUR) to Cuban pesos (CUP): 388 CUP
Exchange rate for the MLC to Cuban pesos (CUP): 260 CUP
Currency Equivalents as of May 19
USD to CUP:
- 1 USD = 370 CUP
- 5 USD = 1,850 CUP
- 10 USD = 3,700 CUP
- 20 USD = 7,400 CUP
- 50 USD = 18,500 CUP
- 100 USD = 37,000 CUP
EUR to CUP:
- 1 EUR = 388 CUP
- 5 EUR = 1,940 CUP
- 10 EUR = 3,880 CUP
- 20 EUR = 7,760 CUP
- 50 EUR = 19,400 CUP
- 100 EUR = 38,800 CUP
- 200 EUR = 77,600 CUP
Cubans remain vigilant to these fluctuations, which directly affect their purchasing power amid ongoing inflation and widespread shortages. The daily reference from the informal market has become an essential tool for those receiving remittances, engaging in private transactions, or merely trying to preserve their buying power.
Understanding Cuba's Informal Currency Market
Why is the informal currency market important in Cuba?
The informal currency market is crucial in Cuba because it provides a more accurate reflection of the currency's value than the official rates, influenced by supply and demand in the black market. It is essential for those receiving remittances and engaging in private transactions.
What factors contribute to the volatility of the Cuban peso?
The Cuban peso's volatility is influenced by economic instability, government policies, inflation, and the availability of foreign currencies. These factors create fluctuations in exchange rates, especially in the informal market.
How do changes in the informal exchange rate impact daily life in Cuba?
Fluctuations in the informal exchange rate affect the cost of imported goods, the value of remittances, and the overall purchasing power of Cubans, making it a critical factor in everyday economic decisions.