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The rising prices that severely affect Cubans in 2024 continue to soar in 2025, further complicating access to essential goods and services for the population, especially for pensioners, one of the most vulnerable and neglected groups by the Cuban regime.
Journalist Carlos Herrera Rodríguez reported this Sunday on his Facebook profile that a barbershop in Playa, Havana, is charging 1,600 pesos for a haircut—an amount greater than the monthly pension received by a retiree after a lifetime of work.
"This is how things are in 2025, but what is this, Tato," he expressed, reflecting the indignation over the rising inflation and the outrageous prices affecting the Cuban people.
In contrast, some activists in Sancti Spíritus held a solidarity initiative last Monday that included providing food to homeless individuals as well as completely free haircuts.
However, the relentless inflation is not the only "surprise" that Cubans have experienced in the early days of the year.
The renowned Cuban comedian Otto Ortiz recently criticized what he deemed an unfair measure by the government to start the year: the refusal of some stores to accept payments in MLC.
On Facebook, the comedian expressed his dissatisfaction: "The first of 2025: there are stores where you can't pay with MLC, only with Clásica, Visa, Mastercard, or cash in dollars."
This is a new supermarket that the Cuban government has opened at 3rd and 70, dedicated exclusively to the sale of food and hygiene products for foreign currency, which are scarce in Cuba. This has sparked significant outrage and controversy on social media.
Located within the premises of the Gran Muthu Habana Hotel—opened in 2023 and managed by the MGM Muthu Hotels chain in partnership with the Gaviota group, which is controlled by the military leadership of the regime—the establishment only accepts cash payments in dollars or cards linked to foreign currency accounts.
Frequently Asked Questions about Inflation and Dollarization in Cuba
Why does a haircut in Havana cost more than a pension for a retiree?
Uncontrolled inflation in Cuba has resulted in a significant increase in the cost of basic goods and services, such as a haircut, which in some cases exceeds the monthly pension of a retiree. This situation reflects the severe economic crisis and the lack of effective policies to protect the most vulnerable.
What is the partial dollarization of the Cuban economy?
The partial dollarization of the Cuban economy refers to the government's implementation of measures allowing transactions in U.S. dollars in certain sectors, such as retail and wholesale, with the aim of attracting foreign currency and reorganizing the economy. This has created inequalities by limiting access to basic goods for those who do not have foreign currency.
Why do stores in Cuba not accept payments in MLC?
Some stores in Cuba have stopped accepting payments in freely convertible currency (MLC) and now only accept cash in dollars or foreign currency cards. This decision is connected to the government's strategy to partially dollarize the economy in order to attract more foreign currency, despite the fact that MLC is a currency introduced by the regime itself.
How does the opening of dollar supermarkets affect the Cuban population?
The opening of supermarkets that only accept dollars excludes the majority of Cubans, who receive their salaries in Cuban pesos. This intensifies economic inequalities and limits access to basic products, generating discontent and outrage among the population.
What do Cubans think about the dollarization of the economy?
Many Cubans criticize the dollarization of the economy, viewing it as an unfair measure that widens the gap between those who have access to foreign currency and those who do not. This policy has been seen as a reflection of the government's inability to address the economic crisis equitably.
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