In a context marked by a deep economic crisis on the island, the hotel chain MGM Muthu Hotels has launched an ambitious promotional campaign for its exclusive hotel in Havana, highlighting it as "a luxury retreat" in the heart of the Cuban capital.
This resort, located in one of the city's most iconic areas, promises to offer its guests a unique experience that combines comfort, exclusivity, and the cultural charm of Cuba, which stands in stark contrast to the economic hardship faced by most Cubans.
Located just 15 minutes from José Martí International Airport and near iconic sites like the Malecón, the hotel stands out for its modern accommodations with spectacular views, free Wi-Fi, air conditioning, cable TV, a safe, and a minibar, according to a post shared by Muthu Hotels on their Facebook profile.
They emphasize that the offer includes a high-level culinary experience, leisure facilities such as a pool, gym, and spa, as well as modern spaces for events. However, this image of luxury starkly contrasts with the economic reality faced by most Cubans.
Despite its expansion with at least 10 hotels in Cuba, MGM Muthu Hotels is facing questions about the relevance of its business model in a country where the majority of the population lacks access to basic goods and services.
The controversy has grown following the recent opening of a supermarket in the lower levels of the Hotel. This establishment, which opened in January 2025, operates exclusively in US dollars, accepting payments in cash or through cards linked to foreign currency accounts.
The store offers a wide variety of products, ranging from food and hygiene items to appliances, but its prices are considered unattainable for the majority of Cubans, whose minimum wage is 2,100 CUP (approximately 6.67 USD at the informal exchange rate of 315 CUP per dollar).
The situation worsens because the supermarket does not provide change in dollar coins, as these do not circulate in Cuba. Instead, customers receive candies or cookies instead of coins, a practice that has been criticized for recalling monetary change methods implemented in the past that many consider abusive.
The opening of this supermarket has been interpreted as a reflection of the partial dollarization of the Cuban economy, prioritizing sales in foreign currency while the majority of the population, who receive their salaries in Cuban pesos, faces difficulties accessing basic products.
This situation has sparked outrage and debate on social media, where the fairness and accessibility of such establishments are being questioned in the current economic context of the island.
Frequently Asked Questions about MGM Muthu Hotel and Dollarization in Cuba
What does the MGM Muthu hotel in Havana offer?
The MGM Muthu hotel in Havana promotes itself as a "luxury retreat" with modern accommodations, spectacular views, free Wi-Fi, air conditioning, cable TV, a safe, and a minibar. Additionally, it offers high-end culinary experiences, leisure facilities such as a pool, gym, and spa, as well as event spaces. This luxury offering contrasts sharply with the economic reality of most Cubans.
Why does the supermarket at the MGM Muthu hotel in Havana generate controversy?
The supermarket of the MGM Muthu hotel in Havana only accepts cash in dollars or cards linked to foreign currency accounts, which excludes most Cubans who earn salaries in Cuban pesos. Prices are unreachable for the majority of the population, reflecting the growing inequality and dollarization of the Cuban economy.
How does partial dollarization affect the Cuban economy?
Partial dollarization in Cuba prioritizes sales in dollars, exacerbating economic inequalities and making it difficult for the majority of Cubans, whose salaries are in Cuban pesos, to access basic products. This situation has generated social tensions and criticism of the regime for prioritizing the capture of foreign currency at the expense of the population's well-being.
What is the impact of the new supermarket on 3rd and 70 on the foreign exchange market?
The opening of the supermarket on 3rd and 70th has increased the demand for dollars, which has raised the exchange rates in the informal foreign exchange market. This erodes the purchasing power of remittances and makes it difficult for Cubans to access foreign currencies needed to purchase basic goods.
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