Cuba’s informal dollar price climbs, eroding newly announced minimum wage

In early July, the informal market in Cuba saw the U.S. dollar rise to about 680 Cuban pesos (CUP), after a period of volatility that saw rates near the 700‑CUP resistance level. Analysts at the Observatorio de Monedas y Finanzas warned that the market could swing between 620 and 730 CUP, stressing the need for cautious pricing and longer‑term planning.

At the same time, the Cuban government announced a 1,100‑CUP increase to the minimum wage, raising it from 2,100 to 3,210 CUP per month starting 1 August. The surge in the informal dollar rate reduced the real value of the new wage to roughly $4.76‑$4.93 per month, diluting the intended benefit for workers. Official exchange rates at state banks remained lower, but the gap with the informal market widened, affecting everyday Cubans’ purchasing power.