This Friday, the value of the Freely Convertible Currency (MLC) dropped to 437.19 Cuban pesos in Cuba's informal market, according to the Informal Market Representative Rate published by theTOQUE, which compiles data from 7:00 a.m. local time.
In contrast, both the U.S. dollar and the euro have shown stability, maintaining their average selling prices without fluctuations.
The dollar continues to be valued at 660 CUP for the fifth consecutive day, while the euro remains steady at 760 CUP, marking ten straight days without change in the informal Cuban market.
Understanding the Market Dynamics
While it may seem that the TRMI's stability indicates a balanced market, this isn't the case. Offers in the market range from 600 to 710 CUP for the dollar, from 665 to 800 CUP for the euro, and between 400 and 500 CUP for the MLC, highlighting the significant gap between buyers and sellers.
As of 7:00 a.m. on July 17, 2026, the exchange rate for the dollar stands at 660 CUP according to theTOQUE, with the euro at 760 CUP, and the MLC at 437.19 CUP.
Long-term Depreciation and Economic Challenges
Perhaps the most striking statistic is the peso's monthly depreciation, which has fallen by 9.1% against the dollar since the end of June, equating to an additional 55 pesos per dollar. Over six years, the decline is staggering: from 42 CUP in 2020 to 660 CUP in July 2026, a loss of over 95% of the peso's value.
The Observatory of Currencies and Finance (OMFi) of theTOQUE projected in its July 9 bulletin that the dollar would fluctuate between 620 to 730 CUP this month, with 700 CUP as a resistance level. OMFi emphasized, "The recent decline in currencies at the end of June was temporary," and noted the renewed demand for dollars.
Regional Variations and Official Rates
Currency values can vary significantly by region. Isla de la Juventud reports the highest rate at 702 CUP for the dollar, while Matanzas has the lowest at 651 CUP. Havana's rate is 664 CUP, and Villa Clara leads the interior provinces at 681 CUP.
Official rates differ considerably, with the Banco Popular de Ahorro (BPA) selling the dollar at 603.84 CUP and the euro at 690.43 CUP—much lower than informal market prices. In hotels and airports, CADECA sells the euro at up to 714.68 CUP.
The Impact on Cuban Salaries
Behind these shifting exchange rates lies a harsh reality for millions of Cuban families. The new minimum wage, set at 3,210 CUP since July 1—a nominal 53% increase from the previous 2,100 CUP—amounts to less than five dollars at informal exchange rates, and workers won’t receive this until August.
The official average salary of 6,930 CUP translates to merely 10.5 dollars per month, while the more than 1.7 million retirees with a minimum pension of 4,000 CUP receive just over six dollars. Independent economists estimate that basic living expenses require approximately 96,060 pesos monthly, about 14 times the official average salary.
Reforms and Skepticism
On June 18, 2026, the National Assembly approved 176 economic measures, including legalizing private banking, lifting the 100-worker cap for small and medium-sized enterprises, and creating a digital currency market. However, OMFi was critical, stating that "Cuba's government faces a credibility problem, and the real impact of these measures can only be assessed once they are translated into decrees, regulations, and institutional changes."
The observatory further warned that internal reforms "will likely be insufficient without some negotiation with the United States to ease sanctions, facilitate external financing, allow for oil imports, remittances, travel, and diaspora investment."
Continuing Currency Devaluation
The macroeconomic environment continues to deteriorate for Cubans. Since the end of June, the peso has depreciated by 9.1% against the dollar, translating to an additional 55 pesos per dollar. Over six years, the national currency has lost over 95% of its value: from 42 CUP per dollar in 2020 to 660 CUP in July 2026.
The new minimum wage of 3,210 CUP, effective from July 1 but not payable until August, equates to less than five dollars at the informal exchange rate. The official average salary of 6,930 CUP barely reaches 10.5 dollars monthly, while independent economists predict that meeting basic needs requires around 96,060 pesos per month, about 14 times that salary.
OMFi cautioned that "the recent decline in currencies at the end of June was temporary," and that "demand for dollars has regained momentum against supply."
The organization also pointed out that "internal reforms will likely fall short unless accompanied by some negotiation with the United States to ease sanctions, facilitate external financing, allow for oil imports, remittances, travel, and diaspora investment."
FAQs on Cuba's Informal Currency Market
Why is the Cuban peso losing value?
The Cuban peso is losing value due to economic instability, lack of foreign investment, and a high demand for foreign currencies like the dollar and euro in the informal market.
What is the current exchange rate for the U.S. dollar in Cuba's informal market?
As of July 17, 2026, the U.S. dollar is valued at 660 CUP in Cuba's informal market.
How do regional differences affect currency rates in Cuba?
Currency rates vary significantly by region in Cuba, with Isla de la Juventud having the highest rate for the dollar at 702 CUP and Matanzas the lowest at 651 CUP.
What impact do recent economic reforms have on Cuba's economy?
While recent reforms aim to stimulate the economy, their actual impact remains uncertain due to the government's credibility issues and the need for broader negotiations with the United States.