This Thursday, the Freely Convertible Currency (MLC) saw a significant drop, falling by ten pesos to settle at 390 Cuban pesos (CUP) in Cuba's informal market, as reported by elTOQUE.
This decline follows a sharp rise the previous day when the MLC leapt by 15 pesos, reaching 400 CUP on Wednesday. This roller-coaster ride underscores the ongoing volatility that has marked the MLC throughout the year.
A Week of Fluctuations: MLC's Roller-Coaster Ride
Throughout the week, the MLC has been on a wild ride. It began the week at 385 CUP, its lowest point in recent days, only to surge to 400 CUP midweek, before dropping back to 390 CUP by Thursday—a swing of 25 pesos in just 72 hours.
Meanwhile, the dollar and euro remained stable compared to the previous day, with the dollar at 525 CUP and the euro at 590 CUP.
Dollar's Steady Climb Despite Disconnected Policies
The U.S. dollar hit a historic high of 525 CUP last Sunday and has been on an upward trend since April 2, when it was at 515 CUP, rising five to ten pesos in merely two weeks. This trend highlights a persistent disconnect between the Cuban Central Bank's official exchange rate—keeping the dollar between 480 and 485 CUP in Segment III—and the informal market, where it's around 520 CUP.
The difference, ranging from 5% to 8%, has remained consistent in recent weeks.
The Cuban Observatory of Currencies and Finance (OMFi) cautions that the apparent stability of recent days is not due to any structural improvement but rather a slowdown in economic activity amid an energy crisis and a significant drop in tourist arrivals, which fell by 56% year-on-year.
Economic Challenges and Future Predictions
As per the OMFi, this reduced market pressure indicates an economy with diminished movement and currency generation capabilities.
Cuba’s tourism industry reported only $917 million in revenue and 1.9 million visitors in 2025, a 14% decrease from 2024, according to the National Office of Statistics and Information (ONEI). In February 2026, arrivals dropped by 56% year-on-year.
Looking towards the end of April, the OMFi projects a moderate depreciation of the Cuban peso: the dollar might climb to 533 CUP, the euro to 604 CUP, and the MLC around 393 CUP. However, analysts warn of high uncertainty in these forecasts, with wide variation ranges: the euro could fluctuate between 574 and 640 CUP, and the dollar between 503 and 590 CUP by month's end.
Currency Conversion Rates
Exchange rates for April 16:
Dollar (USD) to Cuban Peso (CUP):
- 1 USD = 525 CUP
- 5 USD = 2,625 CUP
- 10 USD = 5,250 CUP
- 20 USD = 10,500 CUP
- 50 USD = 26,250 CUP
- 100 USD = 52,500 CUP
Euro (EUR) to Cuban Peso (CUP):
- 1 EUR = 590 CUP
- 5 EUR = 2,950 CUP
- 10 EUR = 5,900 CUP
- 20 EUR = 11,800 CUP
- 50 EUR = 29,500 CUP
- 100 EUR = 59,000 CUP
- 200 EUR = 118,000 CUP
- 500 EUR = 295,000 CUP
Understanding Cuba's Currency Market Dynamics
What caused the recent drop in MLC value?
The MLC value fell due to market volatility, which has been a consistent feature throughout the year, reflecting instability in Cuba's informal currency market.
How has the U.S. dollar performed recently in Cuba?
The U.S. dollar has been on an upward trajectory, reaching a historic high of 525 CUP, reflecting a steady rise since early April.
Why is there a gap between the official and informal exchange rates?
The gap is due to a disconnect between the Cuban government's official exchange policies and the actual economic conditions, leading to differences of 5% to 8% between the official and informal markets.