Dollarization in Cuba

Changing pesos to dollarsPhoto © CiberCuba

The structural economic crisis that Cuba is facing has forced its government to redollarize the sale of food and essential goods, as Fidel Castro did in 1993 and 1994.

In 2004, the Cuban government introduced the use of the CUC and imposed a 10% tax on the dollar, which it has now abolished in the economic package of July 20, 2020. This package includes the opening of 72 stores for sales in freely convertible currencies (MLC), with magnetic cards as the only means of payment.

The additional quotas for the basic food basket are being sold by the authorities at market prices.