The informal currency market in Cuba wakes up this Thursday with a new development: the value of the freely convertible currency (MLC) has sharply fallen once again.
In the last few hours, the freely convertible currency has fallen from 400 to 385 CUP, adding another episode of instability for the digital monetary creation that the Cuban regime has been operating with since 2019.
This marks its lowest level since March 9, a more pronounced movement than on most recent days.
So far in March, there has been a decline of 4.9% compared to the close of February. ElTOQUE notes that it is "by far the worst monthly performance of the three main currencies."
Exchange Rate Evolution
"The trend of the MLC in March tells a clear story: sharp increases of up to 20 pesos followed by equally rapid declines, without settling at any level for long. As the month draws to a close, the result is that the banking currency is 20 CUP below where it began," reveals the digital medium
The range of offers was from 350 to 450 CUP (a difference of 100 CUP between the lowest and highest price), indicating a gap that reflects, "once again, the lack of consensus regarding its real value in a market where genuine demand remains scarce."
What is happening with the dollar and the euro?
The dollar and the euro remain unchanged today.
The US dollar is still valued at 515 CUP, and the euro at 580 CUP, according to the daily report from elTOQUE, which documents the fluctuations of currencies.
The US dollar remains at 515 CUP for the fifth consecutive day, marking "the second longest streak of stagnation this month after the historic 13-day streak at the beginning of March."
So far this month, it has accumulated a growth of only 1% compared to the end of February.
In recent hours, the range of offers for the dollar was unusually wide: between 418 and 600 CUP, which means a difference of 182 CUP between the lowest and highest price for the U.S. currency.
The cited medium indicates that it is "an extreme dispersion that contrasts with the calm of the median and suggests that, beneath the surface, there are very divergent expectations about where the dollar is heading in the final stretch of the month."
The euro also remained at 580 CUP for the fifth consecutive day, with no variation.
So far in March, there has been an increase of 10 CUP (1.8%) compared to the end of February, and for the year, it has risen by 225 CUP (63.4%).
elTOQUE states that "five consecutive days without movement for the euro is also a rarity," and that "the market seems to have found a temporary equilibrium around that level."
The range of offerings for the European currency fluctuated between 560 and 600 CUP (a difference of 40 CUP), somewhat wider than in previous days, but still within the typical range for this currency.
Constant fluctuations of the MLC in a market without clear regulations
The Freely Convertible Currency (MLC), created by the regime as a mechanism to attract foreign currency, has ultimately become one of the most volatile indicators of the already fragmented exchange market on the island.
Although it was initially introduced as a temporary solution to supply stores with hard currency, in practice it has become trapped between the structural scarcity of foreign exchange, state restrictions, and the growing dependence on the informal market.
Its value, which lacks a clear backing or a transparent official rate against the Cuban peso, is de facto determined on the street, where supply and demand quickly respond to any economic or political signals.
The constant fluctuations of the MLC reflect the fragility of the Cuban monetary system and the public's distrust in this instrument.
Unlike the dollar or the euro, which are perceived as safer havens, the MLC is directly influenced by internal government decisions and the availability of products in state-run stores, leading to sharp fluctuations in its exchange rate.
Rumors about changes in sales policies, shortages, or new restrictions are often enough to trigger price spikes or sudden collapses, highlighting a highly sensitive and unstable market.
Exchange rate today 03/27/2026 - 8:35 a.m. in Cuba:
Dollar exchange rate USD to CUP according to elTOQUE: 515 CUP.
Exchange rate of the euro EUR to CUP according to elTOQUE: 580 CUP.
Exchange rate of MLC to CUP according to elTOQUE: 385 CUP.
The rates published by elTOQUE have become one of the main indicators for assessing the real value of the Cuban peso against foreign currencies, in a context where the official exchange rate remains disconnected from the reality of the market.
Foreign currencies are primarily used for emigration, importing goods, protecting savings against inflation, or making purchases in the growing private sector, which keeps pressure high on the informal market.
In a scenario of sustained inflation, low state salaries, and increasing partial dollarization of the economy, the behavior of the informal foreign exchange market continues to have a direct impact on internal prices and the purchasing power of Cubans.
Equivalence of United States Dollar (USD) bills to Cuban Peso (CUP), according to the exchange rates as of March 27:
1 USD = 515 CUP.
2 USD = 1,030 CUP.
5 USD = 2,575 CUP.
10 USD = 5,150 CUP.
20 USD = 10,300 CUP.
50 USD = 25,750 CUP.
100 USD = 51,500 CUP.
Equivalence of Euro (EUR) banknotes to Cuban Peso (CUP):
1 EUR = 580 CUP.
5 EUR = 2,900 CUP.
10 EUR = 5,800 CUP.
20 EUR = 11,600 CUP.
50 EUR = 29,000 CUP.
100 EUR = 58,000 CUP.
200 EUR = 116,000 CUP.
500 EUR = 290,000 CUP.
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