After it was announced that the banks on the Island they were going to accept the deposit of dollars in cash againsome people thought that the price of the currency would increase in the informal buying and selling market, however, this remains constant, as if the measure had not received importance from the citizens.
At the moment, the US dollar (USD) is trading at 183 Cuban pesos (CUP), a price similar to the one it had been showing all week.
Similarly, the euro and the Freely Convertible Currency (MLC) remain without showing any significant change in their prices, with the former selling at 195 CUP and the latter being tied with the USD at 183 CUP.
| Split | Cuban Peso (CUP) |
|---|---|
| dollar (USD) | 183 CUP ↑ +2 |
| euros | 185 CUP ↑ +1 |
| Freely Convertible Currency (MLC) | 183 CUP ↑ +2 |
It is important to remember that, although the MLC is a recent currency in the Cuban market, it has gained traction as people use it to avoid the restrictions associated with the dollar, while at the same time presenting the opportunity to purchase items that are not sold in other state stores.
The announcement may have gone unnoticed in the foreign exchange market due to the regime’s long history of failure on this issue.
In this sense, the same citizens could not help but provoke a wave of memes that revealed how illogical the last movements that the Cuban government had made in relation to foreign currency had been.
Economist Pedro Monreal backs this up, noting that the measure was only implemented as one of many efforts by the government to capture remittances.
The expert points out that this was a point at which the island’s banking mechanism and the brief state exchange market that they had been trying to implement for months failed.
“The USD was already banked. The new thing is the physical USD to try to increase remittances, something in which the previous banking mechanism and the rickety state exchange market failed”, reads the publication shared by the economist.
“Propping up the dual currency (MLC) is not the right direction, according to the official ‘model’ itself,” added Monreal in a response addressed to the Deputy Prime Minister and Minister of Economy and Planning, Alejandro Gil Fernández, who tried to justify the new economic measure .
USD was already banked. What is new is the physical USD to try to increase remittances, something in which the previous banking mechanism and the rickety state exchange market failed. Propping up the dual currency (MLC) is not the right direction, according to the official “model” itself pic.twitter.com/RV5v3TiUTG
— Pedro Monreal (@pmmonreal) April 11, 2023
The news How much is the dollar in Cuba after the reestablishment of cash deposits? It was first published in ASERE NOTICIAS.
