The dollar breaks a record this Thursday in the average informal sales figure in Cuba for the fourth consecutive day.
The US currency is closing the gap with the euro in street-level sales transactions and It reaches 395 CUP per unit, three pesos more than the previous day.
The euro, for its part, remains stable this May 9 at 400 CUP, the astronomical figure reached this Wednesday, proving right those who had predicted for months that such a price was possible for currencies in Cuba.
According to the daily rate published by elToque Today, the Freely Convertible Currency (MLC) also dawns without changes in the price, which remains anchored for the sixth consecutive day at 300 CUP, a threshold he arrived at last Saturday.
Exchange rate today 05/09/2024 - 7:35 a.m. in Cuba:
Dollar exchange rate USD to CUP according to elTOQUE: 395 CUP.
Euro exchange rate EUR to CUP according to elTOQUE: 400 CUP.
MLC to CUP exchange rate according to elTOQUE: 300 CUP.
Alternative exchange rate from other platforms:
Dollar (USD) exchange rate: Buy 391 CUP, Sell 393 CUP.
Euro (EUR) exchange rate: Buy 400 CUP, Sell 400 CUP.
MLC exchange rate: Buy 301 CUP, Sell 301 CUP.
The informal Cuba exchange rate offered here is not officially recognized or endorsed by any financial or government entity.
Below are the equivalents of each available banknote from euros and US dollars to Cuban pesos (CUP), according to the exchange rates of this May 9.
US Dollar (USD) to Cuban Peso (CUP):
1 USD = 395 CUP
5 USD = 1,975 CUP
10 USD = 3,950 CUP
20 USD = 7,900 CUP
50 USD = 19,750 CUP
100 USD = 39,500 CUP
Euro (EUR) to Cuban Peso (CUP):
1 EUR = 400 CUP
5 EUR = 2,000 CUP
10 EUR = 4,000 CUP
20 EUR = 8,000 CUP
50 EUR = 20,000 CUP
100 EUR = 40,000 CUP
This information can be useful to calculate the cost in Cuban pesos of any amount in dollars or euros. These conversions are based on the provided rates of 395 CUP for each dollar and 400 CUP for each euro.
The Cuban peso plummets, a new exchange rate instability?
A detailed article published today by elToque details what he describes as "strong turbulence" experienced by the exchange market in Cuba in April.
"April 2024 marked a high point in the devaluation of the Cuban peso", he sentenced elToque, which noted that the escalation in informal exchange rates last month represents the largest monthly depreciation of the Cuban peso so far this year.
In percentage terms, in April The Cuban peso depreciated more than 13% in relation to the dollar and the euro, and more than 5% against the MLC.
During April, on three occasions the rate rose 5 CUP in a single day in relation to the dollar and twice it did so in relation to the euro.
According to analysts from the Observatory of Currencies and Finance of Cuba (OMFi), the accelerated depreciation of the Cuban peso in April was due to four factors that are part of the economic and financial crisis that the country is experiencing: "growing inflation, stagnation of production and exports, high fiscal deficit and emigration."
In the first quarter of 2024, the food, transportation and alcoholic beverages categories recorded the most significant increases, with inflation rates considerably higher than the general CPI.
Another cause of the devaluation of the Cuban peso would be the slow recovery of tourism, that exports of goods have remained below expectations and that the sugar harvest continues without being able to stabilize its production, highlights the aforementioned independent media.
According to elToque, the migratory wave would also be an aggravating factor that shows no signs of attenuating and that entails additional demand for foreign currency in the informal market.
What is going to happen?
The OMFi models "they anticipate that the depreciation trend could continue in May and predict that the informal exchange rate could be around 417-427 CUP per dollar, 422-433 CUP per euro and 316-324 CUP per MLC at the end of the month.
However, youThey also suggest that a decrease in the rate of devaluation of the peso is likely in the coming months.
While the informal price of foreign currency remains without a ceiling in Cuba, inflation also continues uncontrolled, leaving a bleak panorama in which Cubans see how they lose their purchasing power day after day.
In the midst of this scenario, the Cuban regime seems to find itself in a dead end, unable to offer economic solutions to the problem and opting to blame the devaluation of the CUP on elToque.
What do you think?
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