The exchange rate of the Freely Convertible Currency (MLC) dropped this Sunday in the Cuban informal market, while the US dollar (USD) and the euro (EUR) remain at the same values as the previous day.
According to the current rate monitoring, the value of the MLC is quoted at 260 Cuban pesos (CUP), showing a decrease of five pesos compared to previous days. Meanwhile, the US dollar remains at 370 CUP and the euro at 385 CUP, with no fluctuations.
Sunday, May 11, 2025 - 1:00 PM
Exchange rate of the dollar (USD) to Cuban pesos (CUP): 370 CUP
Exchange rate of the euro (EUR) to Cuban pesos (CUP): 385 CUP
Exchange Rate Evolution
Exchange rate from (MLC) to Cuban pesos CUP: 260 CUP
The decline in the MLC reflects the usual fluctuations of the informal currency market on the island, characterized by economic instability and strong demand for foreign currencies to access goods and services.
Equivalence in Cuban pesos (CUP) of common bills in USD
$1 = 370 pesos
$5 = 1,850 pesos
$10 = 3,700 pesos
$20 = 7,400 pesos
$50 = 18,500 pesos
$100 = 37,000 pesos
Equivalence in Cuban pesos (CUP) of common banknotes in EUR
€5 = 1,925 pesos
€10 = 3,850 pesos
€20 = 7,700 pesos
€50 = 19,250 pesos
€100 = 38,500 pesos
€200 = 77,000 pesos
€500 = 192,500 pesos
Exchange Rate Stability and Stagflation in Cuba
The stable behavior of the dollar should not be interpreted as a sign of economic recovery, but rather as a reflection of a broader context marked by stagflation: an economic phenomenon in which productive stagnation, high inflation, and unemployment coexist.
In the case of Cuba, the lack of economic growth, the decline in purchasing power, and the continuous devaluation of the peso create a typical scenario of stagflation.
Although the exchange rate has stabilized in recent days, prices in the domestic market continue to rise, and the real economy shows no signs of recovery. The demand for foreign currency may be constrained not by trust in the national currency but by a lower availability of cash among the population or a decline in remittances—two factors that are also symptoms of a stagflationary environment.
With their sights set on the coming days, economic actors and citizens will remain attentive to other signs of movement, in an environment marked by volatility and informality as the only means of access to foreign currency.
Frequently Asked Questions about the Informal Currency Exchange Market in Cuba
Why has the value of the MLC decreased in the informal Cuban market?
The value of the MLC has decreased in the Cuban informal market due to a possible lower demand or an increase in the availability of this currency. Furthermore, the loss of confidence in its acceptance within the network of state stores may be contributing to its gradual weakening.
What does the stability of the dollar in Cuba's informal market reflect?
The stability of the dollar in Cuba's informal market does not indicate an economic recovery, but rather a context of stagflation, where productive stagnation, high inflation, and unemployment coexist. This stability may be related to a reduced availability of cash among the population or a decline in remittances.
What is the current situation of the euro in the Cuban informal market?
The euro remains the strongest currency in the Cuban informal market, trading at 385 CUP. Although it has experienced slight fluctuations recently, its value reflects both its limited availability and the high demand for travel and international purchases.
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