"Sir, I sell you a guanajo: The ongoing scam of the regime against the Cuban people."

The Cuban government seems to have the people trapped in the same joke by Álvarez Guedes where there is always a loser... and it’s not the one making the rules.


In the Cuban economy, the government plays the role of that clever kid from the famous guanajo joke, while the Cuban people are trapped in a closet with no way out, watching as the rules of the game are constantly changed to keep emptying their pockets.

This cycle of manipulation, disguised as "economic reforms," is nothing more than a sophisticated scam sustained over decades, aimed at squeezing every penny from a worn-out and desperate populace.

The CUC, the first guanajo: "Sir, I’m selling you a guanajo."

In the 1990s, when the Cuban government introduced the CUC (convertible peso), it was marketed as the perfect solution for a country that could not freely access the dollar due to the embargo.

"Give me your dollars, and here you have this new currency called CUC. What's the price? 1 dollar = 1 CUC, which is just as strong and convertible," they would say.

For years, Cubans had to exchange their hard currency, sent by relatives abroad, for a paper that was only valid in state-run stores, where prices were absurdly high.

End of the CUC: "Sir, I'll buy the guanajo."

But, like in the joke, one day the boy decided that the guanajo from the CUC was no longer useful.

"Sir, I’ll buy the guanajo. How much? 24 pesos!!!" And so, the Cubans ended up with worthless paper while the government recycled currency to feed its bureaucratic and military machinery.

The MLC, the digital guanajo: "Sir, I'm selling you the guanajo."

The next trick was the creation of the MLC (Freely Convertible Currency). But this currency was not physical; now the money had to be stored on an electronic card controlled by the government.

"Transfer your dollars to this account, and you'll be able to shop at our exclusive stores," they said.

But the rules of the game remained the same: exorbitant prices, widespread shortages, and, most importantly, the people never had real access to the dollars sent by their families. The dollars remained in the hands of the government, while Cubans were left with a digital illusion of wealth.

Despite the initial promises that the CUC stores would not close, the reality turned out to be different. Many of these stores were shut down or converted into establishments operating in MLC, leaving the population with fewer options to acquire essential goods.

Back to the dollar: "Sir, I'll buy the guanajo."

In a new twist, the government has decided to create a new store that operates in dollars, where payments cannot be made in MLC. We will soon witness a recycling of the narrative: "We are not going to close the MLC stores. These stores will only be temporary, and we will use the profits we make from them to supply the MLC stores and those accepting Cuban pesos, helping to boost the national economy."

Now, how much are they going to buy the guanajo for, I mean, the MLC? Obviously, it won't be 1:1, because then these new shiny stores wouldn't make sense. Will they give us CUP for the MLC again, like they did with the CUC?

The endless cycle of the scam

The essence of the guanajo joke lies in the infinite cycle of exploitation: the man trapped in the closet can never escape, and the child always finds a way to sell him the same guanajo.

In Cuba, this cycle is driven by various economic "reforms." Today, the government promises that the Cuban peso will be strong; tomorrow, that the convertible peso is guaranteed; the day after tomorrow, that the MLC will be the solution. Yet, it's always the people who end up footing the bill.

It's time to come out of the closet

In the joke, the man never escapes from the closet because the boy has him threatened; the man is terrified of being discovered.

In Cuba, the people remain trapped because the government controls the legislative, police, military power, and every aspect of the economy, from currency issuance to foreign trade.

The only way to break this cycle is to "free the guanajo," allowing Cubans to take control of their own economy, gain direct access to foreign currency, import freely, and establish businesses without the shadow of the State hovering over them.

Until that happens, the guanajo will continue changing its name: from CUC to CUP, from CUP to MLC, and then back to the dollar. And the Cuban people will remain trapped, paying increasingly more for basic necessities, becoming poorer each day.

It is time to open the cupboard and allow the people to take control of their economic destiny. Only then will the perpetual scam come to an end.

P.S. For those who aren't familiar with the joke about the guanajo, here it is:

Filed under:

Opinion piece: The statements and opinions expressed in this article are solely the responsibility of the author and do not necessarily reflect the views of CiberCuba.

Luis Flores

CEO and co-founder of CiberCuba.com. When I have time, I write opinion articles on the Cuban reality from the perspective of an emigrant.