In Cuba, the informal currency market continues to make a big difference with respect to the official exchange rates established by the Central Bank of Cuba (BCC).
As of November 10, 2024, the exchange rate in this market reflects the complex economic situation and the daily fluctuations that affect the Cuban population in the acquisition of circulating foreign currency.
According to data collected by the independent media The Touchthe representative exchange rate of the informal market (TRMI) shows that 1 euro (EUR) is valued at 345.00 Cuban pesos (CUP), while the US dollar (USD) is valued at 327.00 CUP.
For its part, the Freely Convertible Currency (MLC), which is commonly used in stores and businesses in government dollars, stands at 265.00 CUP per unit.
According to the media’s information, these values are obtained by calculating the median of the currency purchase and sale advertisements published in social media groups and classified platforms. To determine the daily variation, the activity of the last 24 hours is compared with the data of the previous day, offering a dynamic reference that guides both buyers and sellers in their transactions.
How much is 100 dollars in Cuba?
To illustrate the magnitude of these rates, a practical example shows that 100 dollars in the informal market is equivalent to 32,700.00 CUP, while the same amount of dollars translates into 123.40 MLC or 94.78 EUR.
Contrasting these data with the official BCC rates, the disparity is evident.
Official rates of the Central Bank of Cuba
The official exchange rate in force from November 8, 2024 to November 11, 2024 establishes that 1 USD is equivalent to 120.00 CUP for the population. For its part, the euro has an official value of 128.75 CUP.
The notable difference between official market rates and those of the informal market reflects the economic difficulties that Cuba faces, including the shortage of foreign currency in the formal banking system, forcing many people to turn to the parallel market to satisfy their foreign currency needs. . This situation perpetuates an economic gap that directly impacts the cost of living and the purchasing power of Cubans.
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**Interview with Economic Analyst Dr. Elena Martinez on Cuba’s Informal Currency Market**
**Editor:** Thank you for joining us today, Dr. Martinez. Let’s start with the current state of Cuba’s informal currency market. How are recent exchange rates affecting everyday Cubans?
**Dr. Martinez:** Thank you for having me. The informal currency market has become an essential part of the Cuban economy, especially as many people rely on it to access foreign currencies for essential goods and services. The disparity between the official exchange rates set by the Central Bank and the rates in the informal market greatly impacts daily life. For example, as of November 10, the informal market shows the euro at 345 CUP and the US dollar at 327 CUP, which is significantly higher than the official rates. This means that those reliant on the informal market face higher costs for basic necessities.
**Editor:** Interesting. Could you elaborate on how the rates for currencies like the euro and US dollar compare to the Freely Convertible Currency (MLC)?
**Dr. Martinez:** Certainly. The MLC is currently valued at about 265 CUP, which makes it considerably cheaper than the euro or US dollar in the informal market. This discrepancy indicates that those who can afford to engage in the informal market have a different purchasing power and access to goods compared to those using official rates or local currency. It’s a reflection of the economic challenges and the daily financial negotiations that many Cubans must navigate.
**Editor:** It sounds like a volatile and challenging environment. What do these fluctuations indicate about the broader economic landscape in Cuba?
**Dr. Martinez:** The fluctuations highlight the ongoing economic crisis in Cuba. The informal market is a response to the scarcity of foreign currency and the government’s restricted economic policies. People are adapting to survive, but the reliance on an unofficial market can also lead to instability and inflation. Essentially, it underscores the urgent need for economic reforms and a more robust strategy for currency management by the government.
**Editor:** Thank you for your insights, Dr. Martinez. Clearly, the informal currency market plays a crucial role in Cuba’s economy and affects many aspects of daily life for its citizens.
**Dr. Martinez:** Yes, and thank you for bringing attention to such an important topic. Understanding these economic dynamics is essential for grasping the realities facing Cubans today.
