After nearly 30 years of managing two currencies in one economy, 2021 was the year that Cuba finally took steps to return to a single currency economy.

On the 1st January 2021 the Cuban Government initiated a 6 month period of monetary unification  ( known officially as Tarea Ordenamiento ) and gradually removed the CUC from circulation, leaving the CUP (Cuban Peso) as the sole Cuban currency.  The CUC  ceased to exist in 2021, marking the end of Cuba’s dual-currency system.

As a reminder, the CUC was initially created in 1994 to eliminate the circulation of USD within Cuba and was pegged CUC1:USD1.  The USD had become the currency of choice within Cuba after the Soviet Union collapsed and withdrew support from Cuba, creating economic freefall on the Caribbean island.   The CUC was, in essence, a US dollar dressed in Cuban clothing and enabled the Cuban Government to control hard currency circulating on the island.  It was used in Cuba for the purchase of all imported goods ( including food, clothing, electronics, building materials ), services and any tourism-related cash transactions.. Travellers would typically exchange GBP/EUR/CAD/AUD in cash for CUC upon arrival or withdraw CUC directly from ATMs using their foreign debit cards.

Concurrently ,the CUP, aka Moneda Nacional or Peso Cubano, had been the base currency of the Cuban economy and the one used for all economic planning and transactions as well as being the currency  in which Cubans receive their salaries, buy their food and pay for utilities and public transportation.  The CUP is now the sole domestic currency in Cuba, with a current exchange rate in government exchange bureaux of approximately  USD 1 : CUP 110 

 

At the time of writing, the most widely accepted currency is the USD and we strongly recommend travellers to Cuba bring cash USD in small denominations.  Many establishments will also accept payments in EUR and , in fact, will actively prefer USD/EUR over CUP ( Cuban Pesos ).

As the Cuban economy is slowly digitalised, many state owned shops now only  accept bank card payments with prices expressed in USD.  Cash payments are rarely possible in these shops. Foreign debit and/or credit cards can be used, however it’s important to inform your bank of travel plans prior to making transactions in Cuba to ensure that your card will work.

 

• Cuban Pesos ( CUP ) is  the official currency for  all cash transactions.
• Avoid relying on ATMs as Cuba has few and remains a cash economy.   Bring your credit cards for medical emergencies only.
• Avoid exchanging your foreign currency into CUP on arrival, and discuss with your guide what payment options are available.  Sometimes it’s better value to pay in USD/EUR cash.
• Traveller expenses in Cuba (e.g. meals, drinks, tips, optional activities, souvenirs etc.) will be calculated in CUP but check payment options in USD/EUR first.
• Government owned shops selling food or clothing ( and all shops within hotel establishments )  will generally accept card payments, not cash, with prices advertised in USD.
• It is prohibited to take CUP currency out of Cuba ( it is recommended to change back any unused CUP before arriving at the airport )
• Duty free shops and cafes in airport departure lounge only accept payments using bank cards or in foreign currencies.