Castro dictatorship says three years to phase out apartheid currency system in Cuba
Like every other "change" and "reform" in Cuba, the dictatorship of Raul Castro will take its time to ensure that their stranglehold on power is neither threatened nor compromised.
Three or more years for monetary union in Cuba
Cuba's two-currency system creates social inequality making its unification one of the biggest demands of the population.
The monetary unification to take place in Cuba will be a "complex" process that will take "three years or more," said the former Minister of Economy and Planning José Luis Rodríguez, in an article published in Cubacontemporanea.com.On October 22nd, Raul Castro's goverment announced, without elaborating, the beginning of a gradual process of unification of the convertible peso (CUC, which is equal to the dollar) and the Cuban peso (CUP, with a conversion rate of 25 for 1 CUC), which have been in circulation 20 years.
Rodriguez, who designed the system, warned that "the expectations of individuals with the elimination of the dual currency tend to be higher than what can really be expected to happen." The unification will only create conditions for improved economic management and measurement, but overcoming the problems currently affecting the production of goods and services and income of the population will only be possible with a profound structural change in the economy, he continued to say.According to some experts, Cuba's two-currency system creates social inequality, because wages on the island are paid in CUP, thus making its unification one of the biggest demands of the population.