The informal currency market in Cuba starts today with changes, but these do not come via the dollar or the euro.
At dawn this Thursday, the Cuban informal market experiences another day of increase for the Convertible Currency (MLC).
In the last few hours, the MLC has risen by another five pesos and is now at 270 CUP, according to elToque.
The virtual currency used by the regime in some stores, which some believe is doomed to disappear, has risen by a total of 25 pesos since February 14.
It is an unusual movement, as since the end of the year, currencies have shown more of a tendency towards stability.
Exchange Rate Evolution
Meanwhile, the dollar and the euro remain unchanged in price.
The US dollar remains valued at 340 CUP and the European euro at 345 CUP.
Exchange rate today 02/20/2025 - 8:11 a.m. in Cuba:
Exchange rate of the dollar USD to CUP according to elTOQUE: 340 CUP.
Exchange rate of the euro EUR to CUP according to elTOQUE: 345 CUP.
Tasa de cambio del MLC to CUP according to elTOQUE: 270 CUP.
The increase in the Freely Convertible Currency attracts attention, considering that in recent weeks the opportunities for Cubans to conduct transactions with that type of card have been restricted.
The resurrection of the MLC is a mystery that has not yet been addressed by the independent outlet elToque, which monitors the fluctuations of currency prices in Cuba.
Meanwhile, the regime is moving towards a declared dollarization of its sales, using cash or cards such as VISA, MasterCard, and the Clásica, the latter operated by the government.
It is hard to doubt the downfall of the Convertible Currency, especially since the Cuban regime reopened the doors of the Infanta and Santa Marta Market in Havana last week, offering a wide range of products but with a significant change in its payment system: it no longer accepts Convertible Currency (MLC).
Although it previously allowed transactions in MLC, it now only accepts payments with VISA, MasterCard, MIR cards, and prepaid cards issued by BANDEC, AIS, Viajero, and Clásica, the latter offering a 5% discount on purchases.
In addition to the mentioned spaces, the regime has authorized more than a dozen wholesale and retail businesses in foreign currency, eight of which are linked to the MINCIN business system.
Frequently Asked Questions about the Foreign Exchange Market in Cuba
What is the current exchange rate of the dollar, euro, and MLC in the Cuban informal market?
The exchange rate for the dollar is 340 CUP, the euro is 345 CUP, and the freely convertible currency (MLC) is 270 CUP, according to elToque's monitoring as of February 20, 2025. These rates apply in the informal currency market in Cuba.
Why is the value of the Convertible Currency (MLC) increasing in Cuba?
The increase in MLC is unusual given that the places where it can be used have decreased. Although stores have stopped accepting payments in MLC, its demand seems to have grown in the informal market. The situation is a mystery and has not been clearly explained by the independent media that monitor these fluctuations.
What changes have been made to the payment system in stores in Cuba?
The Cuban regime has stopped accepting the Freely Convertible Currency (MLC) in stores such as Mercado Infanta and Santa Marta in Havana. Now, only payments with VISA, MasterCard, MIR cards, and prepaid cards issued by Cuban banks, such as Clásica, which offers a 5% discount on purchases, are allowed.
Is Cuba moving toward a dollarization of its economy?
Yes, Cuba is moving towards a partial dollarization of its economy. The regime now allows more transactions in dollars and euros in various stores and spaces, while the MLC is being sidelined, creating uncertainty about the future of this virtual currency.
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