Currency Black Market in Cuba Hits a “Miraculous Standstill”
After a week of slight fluctuations and relative stability, the exchange rates in Cuba’s informal currency market wake up this Saturday to a “miraculous standstill” compared to the previous day’s quotes. Nothing has changed in the last 24 hours. If on Friday the euro had added another five Cuban pesos to its selling price, this Saturday it maintains its selling price at 375 Cuban pesos (CUP).
Following a Thursday with no changes in the prices of the main reference currencies, the US dollar and the freely convertible currency (MLC) remain unchanged and are still quoted at 360 and 300 Cuban pesos, respectively.
This “miraculous standstill” keeps Cubans on edge, who have recently been suffering from the volatility of the informal currency market and the passivity of a government unable to bring order to economic and monetary policy or establish an official rate that allows citizens to access foreign currencies.
Cyclical surges and drops in the informal exchange rate occur more frequently, indicating growing instability and uncertainty among the “new actors of the economy,” remittance recipients, and black market operators.
Today’s Exchange Rates in Cuba – 06/22/2024 – 10:03 AM
Exchange rate of the USD to CUP according to elTOQUE: 360 CUP
Exchange rate of the EUR to CUP according to elTOQUE: 375 CUP
Exchange rate of the MLC to CUP according to elTOQUE: 300 CUP
These values provide a quick reference for converting dollar and euro banknotes to Cuban pesos, according to the current informal exchange rate.
Understanding Cuba’s Informal Currency Market
Below are some frequently asked questions to help better understand the complexities and current state of Cuba’s informal currency market.
Why is the informal currency market so volatile in Cuba?
The informal currency market in Cuba is highly volatile due to a combination of economic instability, government policies, and the lack of an official exchange rate that meets the demand for foreign currencies.
How does the government influence the informal currency market?
The Cuban government’s economic and monetary policies, or lack thereof, significantly influence the informal currency market. Their inability to establish a stable official exchange rate exacerbates the market’s volatility.
What are the current exchange rates for USD, EUR, and MLC in Cuba?
As of June 22, 2024, the exchange rates are 360 CUP for USD, 375 CUP for EUR, and 300 CUP for MLC, according to elTOQUE.
