On Sunday, the value of the U.S. dollar surged once again in Cuba's informal market, reaching an unprecedented rate of 435 Cuban pesos (CUP), as reported by the independent observatory, elTOQUE. This increase of five pesos since Saturday highlights a persistent upward trend that heavily impacts the Cuban economy, which increasingly relies on foreign currency for basic goods and services.
Recent Surge in Exchange Rates
The dollar's value has shown a consistent climb over recent days. On Thursday, September 25, the U.S. currency had already hit 430 CUP, a rate it maintained through Friday and Saturday. Sunday saw the dollar break this ceiling, climbing to 435 CUP, further illustrating the rapid devaluation of the Cuban peso.
Meanwhile, the euro has also experienced a steady rise, reaching 495 CUP on Sunday, nearing the symbolic threshold of 500 pesos. The Freely Convertible Currency (MLC), which had exhibited volatility in prior weeks, increased from 205 CUP on Saturday to 210 CUP on Sunday, matching its rate from Thursday and Friday.
Exchange Rates as of September 28, 2025 - 12:50 PM in Cuba
Dollar to CUP exchange rate according to elTOQUE: 435 CUP.
Euro to CUP exchange rate according to elTOQUE: 490 CUP.
MLC to CUP exchange rate according to elTOQUE: 210 CUP.
Severe Impact on Everyday Life
The simultaneous increase in the value of the dollar and euro poses a severe challenge for most Cubans, whose wages and pensions are paid in pesos, which lose value with each currency surge. This rise directly affects the prices of essential imported goods, including food, medicine, fuel, appliances, and airfare.
For those relying solely on income in CUP, their purchasing power is drastically reduced. Conversely, individuals receiving remittances in foreign currency see the value of those funds multiply, exacerbating social inequalities. The gap between those who have access to foreign currency and those who do not widens daily, amidst a landscape of scarcity, inflation, and limited official market alternatives.
Euro's Dominance in Currency Trends
Although the dollar headlines Sunday’s news, the euro has been the currency most affected throughout 2025, repeatedly breaking its own records in the informal market. The high demand for the euro, coupled with its limited availability compared to the dollar, has made it the primary reference for many Cubans seeking to safeguard their savings or conduct international transactions.
Experts warn that without an expansion of the official currency supply or significant economic reforms, the Cuban peso will continue to lose its value. As trends suggest, both the dollar and euro are likely to keep reaching record highs for the remainder of the year.
Frequently Asked Questions about Currency Exchange in Cuba
Why is the U.S. dollar rising in value in Cuba?
The U.S. dollar is rising in value in Cuba due to increasing demand for foreign currency amidst economic instability and limited supply in the official market, prompting higher rates in the informal market.
How does the rise in foreign currency impact everyday life in Cuba?
The rise in foreign currency devalues the Cuban peso, leading to higher costs for imported goods and services, ultimately reducing the purchasing power of those earning in pesos and increasing social inequality.