Despite predictions of its imminent demise, the Freely Convertible Currency (MLC) in Cuba unexpectedly appreciated in value on February 14. This virtual currency saw a slight increase in the informal Cuban market, rising from 245 CUP to 246.50 CUP—a jump of 1.50 CUP.
This uptick is unexpected given the recent restrictions on spaces where Cubans can conduct transactions with this type of card. Meanwhile, the Cuban regime continues its push towards a declared dollarization of sales, accepting cash or cards like VISA, MasterCard, and the government-operated Clásica.
On the other hand, both the U.S. dollar and the euro remained stable in the informal currency exchange market in Cuba, according to the daily report by elToque, which monitors buy-and-sell ads on social media. As of February 14, 2025, the U.S. dollar is valued at 340 CUP, while the euro stands at 345 CUP.
The Disgraced Virtual Currency
For instance, the Cuban government reopened the Infanta and Santa Marta Market in Havana with a wide range of food, frozen goods, beverages, and toiletries, but with a major change in its payment system: the Freely Convertible Currency (MLC) is no longer accepted. Although MLC transactions were allowed in the past, payments are now limited to VISA, MasterCard, MIR, and prepaid cards issued by BANDEC, AIS, Viajero, and Clásica, the latter offering a 5% discount on purchases, as noted in a Facebook post by Tiendas CARIBE División Habana Oeste.
This change has sparked discontent, as MLC cards, still recharged from abroad, are now invalid in this setting, reinforcing perceptions of arbitrary economic policies by the Cuban government.
Notably, January saw the opening of the 3ra y 70 supermarket in Playa, accessible exclusively with U.S. dollars. Additionally, the regime has approved more than a dozen wholesale and retail businesses to operate in foreign currency, eight of which are linked to MINCIN's business system.
Currency Exchange Rates
The exchange rates for U.S. dollars and euros to Cuban pesos (CUP) on February 14 are as follows:
U.S. Dollar (USD) to Cuban Peso (CUP): 1 USD = 340 CUP 5 USD = 1,700 CUP 10 USD = 3,400 CUP 20 USD = 6,800 CUP 50 USD = 17,000 CUP 100 USD = 34,000 CUP
Euro (EUR) to Cuban Peso (CUP): 1 EUR = 345 CUP 5 EUR = 1,725 CUP 10 EUR = 3,450 CUP 20 EUR = 6,900 CUP 50 EUR = 17,250 CUP 100 EUR = 34,500 CUP
Currency Exchange Insights in Cuba
Why did the MLC increase in value?
The slight increase in MLC value is surprising due to recent restrictions on transaction spaces and the government's push towards dollarization.
What currencies are stable in Cuba's informal market?
As of February 14, both the U.S. dollar and the euro have remained stable in Cuba's informal currency exchange market.