The euro continues to gain ground in the informal currency market in Cuba, trading this Sunday at 387.5 Cuban pesos (CUP), two more than the previous day, according to independent monitoring by elTOQUE.
This increase confirms the upward trend of the European currency against an increasingly devalued Cuban peso, with no effective backing from the monetary authorities of the regime.
Informal exchange rate in Cuba Sunday, May 4, 2025 - 07:00
- Exchange rate of the dollar (USD) to Cuban pesos (CUP): 370 CUP
- Exchange rate of the euro (EUR) to Cuban pesos CUP: 387.5 CUP
- Exchange rate from (MLC) to Cuban Pesos CUP: 265 CUP
The US dollar remains stable at 370 CUP, unchanged from Saturday, after having increased by five pesos over the past week. This temporary stability does not eliminate the inflationary pressures that continue to undermine the domestic economy and generate uncertainty among citizens.
Regarding the freely convertible currency (MLC), its exchange rate also remains unchanged at 265 CUP, reflecting less volatility compared to major foreign currencies.
Exchange Rate Evolution
A review of the historical behavior of the euro in the informal market reveals a sustained upward trend since early 2021, when it barely exceeded 30 CUP.
Starting in mid-2022, the exchange rate began to rise more rapidly, reaching its all-time high in June 2024, when it recorded a rate exceeding 400 CUP, briefly surpassing 420 Cuban pesos.
After a significant decline in July that left its exchange value around 310 CUP and another in December of the same year, which marked 300 CUP (temporary corrections), the graph shows a clear upward trajectory, with a more pronounced increase starting from mid-March 2025.
The slight appreciation of the euro highlights the diversification of preferences in the informal market, in a context where remittances and transactions in euros continue to be significant, especially from Spain and other European countries with a strong presence of the Cuban diaspora.
The regime's inability to offer a competitive official exchange rate, combined with the structural crisis of the economic model, continues to push the population towards the informal market as the only means to access foreign currency. This distortion exacerbates inequalities and erodes the purchasing power of the average salary.
The constant devaluation of the Cuban peso against major currencies keeps millions of Cubans on edge, trapped in a stagnant economy characterized by scarcity, inflation, and a lack of structural solutions from the government.
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