On this Sunday morning, Cuba's informal currency exchange landscape continues to reflect the nation’s financial turmoil, with both the U.S. dollar and the euro maintaining their record-breaking highs. According to figures released by elTOQUE, these developments cap off a week marked by unprecedented peaks and further plummet of the Cuban peso.
The dollar is steadfast at 535 CUP, a historic high first reached on Wednesday, April 29. This surpasses the maximum forecast by Cuba's Monetary and Financial Observatory (OMFi), which had anticipated a cap of 533 CUP by the end of April.
Meanwhile, the euro stands firm at 610 CUP, setting a new record just a day ago, marking the second consecutive peak within 48 hours. The MLC (freely convertible currency) slightly decreased to 400 CUP, down from 412.5 CUP on Saturday.
Informal Exchange Rates: A Snapshot
As of 5:00 AM on Sunday, May 3, 2026, the informal exchange rates were as follows:
- USD to CUP: 535 CUP
- EUR to CUP: 610 CUP
- MLC to CUP: 400 CUP
The euro’s surge has been particularly remarkable in recent weeks. It first breached the psychological threshold of 600 CUP on April 19, and since then, it has continued to climb, reaching 605 CUP on Tuesday, April 28, and finally hitting 610 CUP on Saturday.
Underlying Causes of Economic Decline
The ongoing devaluation of the Cuban peso stems from deep-rooted structural issues that the regime has failed to address. These include an energy crisis exacerbated by halted oil shipments from Venezuela and the cessation of Mexican petroleum supplies since January 2026. Additionally, the decline in tourism, a shortage of foreign currency in the banking system, and excessive money printing linked to fiscal deficits are all contributing factors.
On the energy front, Cuban reserves of Russian oil have been depleted, pushing the nation to the brink of blackouts once again. The donation of 100,000 tons of crude received in late March was fully consumed by the end of April, with no new shipments confirmed for May.
This economic strain is further compounded by the Central Bank’s issuance of 2,000 and 5,000 peso bills starting April 1. This move has introduced additional inflationary pressure and currency exchange uncertainty in an already unstable environment.
Economic Outlook and Historical Context
Since 2020, the Cuban peso has lost approximately 95% of its value against the dollar, falling from 42 CUP to today’s 535 CUP. Over the past year alone, the dollar has seen a 47.8% increase in the informal market, rising from 345 CUP to the current rate, while the euro has surged from around 350 CUP to 610 CUP, reflecting a 74% depreciation of the peso against the European currency within a year.
The Economist predicts a grim 7.2% contraction in Cuba’s GDP for 2026, marking the most severe economic downturn for the island since 1959, underscoring the depth of the crisis under 67 years of communist rule.
Understanding Cuba's Currency Crisis
Why is the Cuban peso losing value so rapidly?
The Cuban peso's rapid devaluation is attributed to structural economic problems, including an energy crisis, reduced tourism, foreign currency shortages, and excessive currency printing linked to fiscal deficits.
What are the current exchange rates for USD and EUR in Cuba's informal market?
As of May 3, 2026, the informal market exchange rates are 535 CUP for 1 USD and 610 CUP for 1 EUR.