The informal currency exchange market in Cuba concluded the week with both the dollar and the euro reaching unprecedented levels, following a Sunday trading session that will be remembered in the island's exchange history.
According to data from elTOQUE, an independent platform widely trusted by Cubans, the dollar hit an all-time high of 543 Cuban pesos (CUP) yesterday, before slightly decreasing to 542 CUP this morning.
Exchange Rates Hit Record Levels
Monday, May 11, 2026 - 07:30
Dollar (USD) to Cuban pesos (CUP) exchange rate: 542 CUP
Euro (EUR) to Cuban pesos (CUP) exchange rate: 620 CUP
MLC to Cuban pesos (CUP) exchange rate: 425 CUP
The euro remains at 620 CUP, a historic peak it reached last Friday, maintaining that level since. Meanwhile, MLC is valued today at 425 CUP, having peaked at 430 CUP last Wednesday after a dramatic 30 pesos jump in a single day.
Alarming Start to the Week
The week began last Monday with a significant warning signal: the dollar surged by four pesos in just one day, from 536 to 540 CUP, marking the largest recent daily increase. Since then, the U.S. currency has stayed above that threshold all week, reaching a new record of 543 CUP yesterday.
The euro has also experienced significant increases, breaking through the 600 CUP barrier for the first time on April 19, and climbing to its current 620 CUP level in just three weeks.
Wide Gap with Official Rates
The disparity with the official rates from the Central Bank of Cuba (BCC) is vast. This Monday, the state institution offers 498 CUP per dollar and 586.35 CUP per euro, figures that the informal market surpassed weeks ago. Access to these official rates is highly restricted for the general population.
Accelerated Depreciation
The dollar's record-breaking session on Sunday is part of a rapidly accelerating depreciation trend. The dollar closed April at 535 CUP, already exceeding the maximum ceiling predicted by the Cuba's Monetary and Financial Observatory (OMFi) for that month, which was 533 CUP.
For May, the OMFi forecasts a central rate of 562 CUP, with a range between 523 and 590 CUP. However, the market has frequently demonstrated that these projections fall short.
The decline of the Cuban peso against the dollar is among the most severe in the continent in recent years. From January to April 2026, the average yearly depreciation was 45%, more than double the rate of 22% for all of 2025.
Since 2020, the peso has lost approximately 95% of its value against the dollar, plummeting from 42 CUP per dollar to over 540 CUP today. This is a direct result of chronic inflation, an energy crisis with daily blackouts, a collapse in tourism, and a persistent shortage of foreign currency, all stemming from decades of dictatorial mismanagement.
If the recent trend continues, the dollar might reach the OMFi's projected ceiling of 590 CUP before May concludes.
FAQs on the Cuban Peso's Decline
Why is the Cuban peso depreciating so rapidly?
The rapid depreciation of the Cuban peso is primarily due to chronic inflation, an ongoing energy crisis, declining tourism, and a structural shortage of foreign currency caused by decades of mismanagement.
How has the informal market impacted the official exchange rates?
The informal market has significantly outpaced the official exchange rates offered by the Central Bank of Cuba, creating a wide gap that limits the general population's access to the official rates.