At 8:00 p.m. local time in Cuba, the informal currency exchange market concluded its activities on Thursday, August 6, without any significant changes. The U.S. dollar ended the day at 673 Cuban pesos, matching the rates from yesterday and a week ago. Similarly, the euro remained stable at 785 pesos, although it has shown a rising trend over the past month. The MLC, with limited data available, is approximately at 449 pesos, slightly below today's opening value.
U.S. Dollar Stability in Cuba's Informal Market
The U.S. dollar (USD) closed at 673 Cuban pesos (CUP) this Thursday. This rate remained unchanged from the previous day and a week ago, when it also stood at 673 pesos. Over the past month, the dollar has increased by a modest 2.5 pesos from 670 pesos 30 days ago, suggesting a period of sustained stability. In the last 30 days, the dollar's value fluctuated between a low of 655 and a high of 675 pesos in the informal market. It continues to be a key indicator of the informal market's pulse amid a persistent currency shortage.
Euro's Performance and Dominance
The euro (EUR) concluded the day at 785 CUP, with no changes compared to the previous session or a week prior. Yet, on a monthly basis, the euro has gained 29.5 pesos from 756 pesos 30 days ago, representing a 3.9% increase. This comparison should be approached with caution as it may reflect index methodology adjustments in addition to market movements. Over the past month, the euro hit a low of 745 and a high of 790 pesos. It outpaces the dollar by 112 pesos, solidifying its dominant position in Cuba's parallel market.
MLC's Limited Circulation and Decline
The MLC closed at roughly 449 CUP, a tentative value due to scarce data. This represents a decrease of 1.5 pesos (-0.3%) since this morning's opening, and a similar drop compared to the previous day. On a weekly scale, the decline is more pronounced, with a reduction of 25.5 pesos from seven days ago (-5.4%). Over the month, it has fallen by 44 pesos from 493, an 8.9% decrease, though this figure should be considered cautiously. Without physical existence, its use is confined to state-run stores that accept it, limiting its circulation compared to cash currencies.
Disparity Between Official and Informal Exchange Rates
The exchange rates are as follows: USD at 673 CUP, EUR at 785 CUP, and MLC at 449 CUP (indicative value, limited data). The official rates set by the Central Bank of Cuba (Segment III) remain significantly lower, at 618 CUP per dollar and 714 CUP per euro, than those prevalent in the informal market.
Although Segment III was introduced as a supposedly more flexible exchange mechanism, its official rates remain far from those in the informal market and fail to meet the real demand for foreign currency among the population. The gap between official and informal rates highlights ongoing currency shortages in the state banking system and the high demand for dollars and euros by the public, whether for emigration, importing goods, safeguarding savings, or making purchases in the private sector.
In a scenario characterized by sustained inflation, low state wages, and increasing partial dollarization of the economy, every fluctuation in the informal market directly affects domestic prices and Cubans' purchasing power.
The CiberCuba Exchange Rate is an index of Cuba's informal market, developed through automated analysis of thousands of currency exchange posts in Telegram and Facebook groups. The calculation excludes atypical offers and spam messages, weighing each transaction by its age and consolidating a representative value updated several times daily.
Thursday's Exchange Rate Equivalences
Equivalence of U.S. Dollar (USD) to Cuban Peso (CUP) as per the exchange rates on Thursday, August 6, 2026:
- 1 USD = 673 CUP
- 5 USD = 3,365 CUP
- 10 USD = 6,730 CUP
- 20 USD = 13,460 CUP
- 50 USD = 33,650 CUP
- 100 USD = 67,300 CUP
Equivalence of Euro (EUR) to Cuban Peso (CUP) as per the exchange rates on Thursday, August 6, 2026:
- 1 EUR = 785 CUP
- 5 EUR = 3,925 CUP
- 10 EUR = 7,850 CUP
- 20 EUR = 15,700 CUP
- 50 EUR = 39,250 CUP
- 100 EUR = 78,500 CUP
- 200 EUR = 157,000 CUP
Understanding Cuba's Informal Currency Market
Why is the informal exchange rate higher than the official rate in Cuba?
The informal exchange rate is higher due to the significant demand for foreign currencies such as dollars and euros, which is not met by the official rates. The scarcity of foreign currency in the official banking system drives people to the informal market where the rates reflect the actual market demand.
What factors contribute to the stability of the U.S. dollar in Cuba's informal market?
The stability is attributed to a consistent demand for the dollar in a context of limited supply. Additionally, the dollar's role as a global reserve currency and its use for international transactions contribute to its stable position in Cuba's informal market.
How does the informal market impact Cuba's economy?
The informal market affects the economy by influencing internal prices and purchasing power. Fluctuations in this market can lead to inflationary pressures and affect the cost of goods and services, as well as Cubans' ability to save and make purchases.