Dollarization in Cuba

Exchanging pesos for dollarsPhoto © CiberCuba

The structural economic crisis affecting Cuba has forced its government to redollarize the sale of food and basic necessities, 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In 2004, the Cuban government introduced the use of the CUC and imposed a 10% tax on the dollar, which has now been repealed in the economic package of July 20, 2020.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 fees for the basic basket are being sold by the authorities at market prices.