Numerous elderly individuals in Cuba are compelled to endure extended waits in line to receive their pension checks in cash. This situation arises from the frequent power outages disrupting bank operations across the island.
A video shared on Facebook by the page "Ayer y Hoy," titled "Our Santiago de Cuba," highlights a recurring scene throughout the nation: retired Cubans rising at dawn, queuing for hours, or even spending the night on sidewalks to collect a pension that, as of 2026, amounts to less than $10 a month.
Since September 2025, the minimum pension in Cuba has been set at 4,000 Cuban pesos, an increase from the previous 1,528 pesos. However, with the informal exchange rate in June 2026—approximately 545 pesos per dollar—those 4,000 pesos translate to a mere seven to eight dollars monthly. Meanwhile, the basic food basket in Havana costs around 30,000 pesos per person, eight times what a retiree receives.
The human struggle is particularly evident in Santiago de Cuba, where some seniors, even in their 80s, start lining up at 6 p.m. the previous evening to try to collect their pension at dawn.
Struggles in Santiago de Cuba
At the bank located at the intersection of Garzón and Third Street in the Santa Bárbara district, people spend the night on the pavement. The presence of "queue-sellers" who sell spots leads to shoving and disputes among older individuals with limited mobility.
This crisis is not confined to Santiago. On June 17, the provincial government of Granma admitted its inability to gather over 400 million pesos needed to pay more than 111,000 retirees, citing a lack of sufficient cash for monthly payments.
"We have not been able to reach the over 400 million pesos in cash required," acknowledged the Provincial Commission for Social Security in that region.
Nationwide Banking Crisis
In Havana, more than half of the ATMs have ceased functioning, plummeting from over 500 operational machines to just about 200, crippled by blackouts and a shortage of banknotes. In Camagüey and other provinces, many Cubans can only withdraw 500 pesos monthly, with ATMs remaining empty for weeks.
Additionally, since August 2023, a withdrawal limit of 5,000 pesos per transaction has been imposed, necessitating multiple visits to collect a full pension.
Authorities blame the cash shortage on private businesses failing to deposit money with banks and the widespread reluctance to adopt electronic payments. On June 18, the official Communist Party newspaper, Granma, acknowledged, "The reality imposes urgent and necessary changes," an unusual admission of the banking sector's collapse.
The Demographic Challenge
The root of the problem runs deeper. Cuba is the most aged country in Latin America, with 25.7% of its population aged 60 or older by the end of 2024.
A massive exodus of young people—between 40,000 and 44,000 annually—diminishes the workforce supporting the social security system, while the number of beneficiaries continues to rise. From 2021 to 2023, the population aged 15 to 59 decreased by nearly 12%.
The image of an elderly person standing in line since the previous afternoon to collect seven dollars a month, in a country where forty years of work culminate in a retirement that doesn't cover a week's expenses, encapsulates decades of failure by a system that promised to protect its citizens and has left them sleeping on sidewalks to survive.
Understanding Cuba's Pension Crisis
What is the current minimum pension in Cuba?
As of September 2025, the minimum pension in Cuba is 4,000 Cuban pesos, which equates to roughly seven to eight dollars per month at the informal exchange rate in June 2026.
Why are Cuban banks struggling to provide cash for pensions?
Cuban banks face difficulties due to power outages, a scarcity of banknotes, and private businesses not fulfilling deposit contracts. Additionally, there's widespread reluctance to embrace electronic payments.
How has the emigration of young people affected Cuba's social security system?
The massive emigration of young people has reduced the active workforce needed to sustain the social security system, while the number of retirees continues to grow, exacerbating the pension crisis.